With-Profits Annuities Basics
With a conventional annuity the provider tells you how much your starting income will be, but with-profits annuities have an option that allows you to pick your with profits annuity income when you buy it, and you can usually change it in the future to suit your needs.
A With-Profits Annuity pays you a regular income for life, with the added freedom of being able to select a starting income from within a range that the with profits annuity provider gives you. Your income has the opportunity to grow, by being linked to the performance of the With-Profits Fund. Some providers also guarantee not to pay you less than a certain amount, known as a Secure Level, no matter how their fund performs.