IN-FUND LIVING ANNUITY OPTION (IFLA)
As a member of the fund, you have the option of moving a portion of or all your retirement savings into a living annuity provided by the fund when you retire. Investing in this living annuity is effectively the same as ‘buying’ a cost-effective pension. Annuitants continue to benefit from not only the low investment fees they were used to as active members of the Fund but also the sound governance practices overseen by the Board of Trustees.
At retirement when you invest in the In-Fund living annuity, you select one of two options which will determine the investment of your retirement capital and the amount of your monthly pension:
Trustee endorsed option
This means that your savings are invested for you in the consolidation phase of the fund. The amount of money you can take (draw down) from your retirement capital as a pension income is a fixed percentage of your retirement capital. This percentage then increases every five years