Guaranteed annuity rate (GAR)

A GAR is a valuable guaranteed income sometimes offered by a pension scheme or provider if you take a lifetime annuity with them. If your pension scheme provides a GAR, this could provide you with a higher level of annuity income by purchasing your annuity from your pension provider than you may be offered on the open market.

You can find out if your scheme offers a guaranteed annuity rate by looking at the information you were given when you joined the scheme, or by asking your pension provider. Most schemes that offer a guaranteed annuity rate were marketed in the 1980s and 1990s, when annuity rates were higher. GARs do not apply to The People’s Pension.

Find out about your options at retirement