Changing circumstances in retirement

Your life will change when you retire. You may have much more time on your hands to do the things you enjoy, but you'll probably also have to adjust to having a lower income.

In addition, depending on the product you choose, your retirement income may be fixed at a certain level, so if the cost of living rises, your money will buy you less over the years.

You may want to boost your retirement income. There are several ways you could do this.

Get the most out of your home

Your home is likely to be the most valuable thing you own. You could sell up and downsize or rent, but, alternatively, you could supplement your income by releasing some of the cash locked up in your home.

Find out more about how you can use your home to help fund your retirement.

With equity release, you get a lump sum to do with as you please.

Equity release isn't suitable for everyone, so it's essential that you speak to a financial adviser. They will tell you if it's suitable for you. You must meet the minimum age and your home must be worth at least the minimum property values. Equity release will reduce the inheritance you leave. It may also affect your tax position and entitlement to some means-tested welfare benefits.

This is a lifetime mortgage. To understand the features and risks, ask for a personalised illustration.

Take care of your money

If you already have existing savings and investments, it's worth reviewing them to make sure that your money is working as hard as possible for you.

It may be that the funds you originally invested in are no longer suitable now you're retired or there is another investment that better suits your current needs.

Find out about savings and investments from Aviva

Preparing your legacy

Don't make assumptions about what will happen to your money and possessions when you die. Make sure that your estate goes to the people who matter most to you by making a will.

Find out more about why it's important to prepare your legacy.

Get help from a professional

We strongly recommend that you speak to a financial adviser before you make any changes. They will be able to assess your personal circumstances and offer advice on the best course of action for you.

If you don’t have an adviser, you can visit www.unbiased.co.uk or call us on 0800 068 4076. We can only advise on our own products.

Related FAQs

What is a will?: A will is a legal document in which you state what you would like to happen to your estate when you die. Your estate is all that you own in your sole name at the time of your death. This could include your house, money, investments, car, household and personal belongings. You can use your will to leave instructions on how your estate should be divided after you die. Your will may not cover possessions that you jointly own with another person as usually, these will automatically pass to the joint owner.
How do I make a will?: You can write your own will, but it's usually much easier and better to use a solicitor or a professional will-writer to draw up a will for you. This is likely to mean that your will has a more solid legal basis than if you do it yourself. If you don't have a solicitor, you can find a local one at www.unbiased.co.uk. You can also find more advice about wills at the Citizens Advice Bureau website.
Is the lump sum I get from the equity release on my home tax free?: Yes, you won't have to pay either UK income or capital gains tax on any money you release from your home. However, it's possible that the money will affect your tax position and any entitlement you have to welfare benefits.

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