Platinum Drawdown FAQ's
How flexible is the Platinum Drawdown Plan?
You can choose the frequency of accessing your retirement income subject to statutory limits which can be monthly, quarterly, semi-annually, annually or on request. You can also choose to access minimal or no income before 65 years to minimize on payable tax or choose to access less or more funds to suit your income needs. You can also adjust the frequency of accessing benefits at the beginning of every year.
How much can I invest in Platinum Drawdown Plan?
You can invest a minimum of Kshs. 5million from your retirement savings. You can also continuously top up with funds from other sources.
What happens to my Platinum Drawdown Plan when I reach 65 years?
On attaining 56 years, you will no longer pay income tax on your retirement benefits.
What options do I have after expiry of the minimum 10 years?
At the end of the statutory period of 10 years, you can exercise any of the following options • Receive a refund of the remaining fund • Continue with the drawdown arrangement • Purchase an annuity to provide an income for life
What happens to my Platinum Drawdown Plan when I die?
In event of death, the balance in your fund will be paid to your nominated beneficiaries.
What should I consider while taking the Platinum Drawdown Plan?
• Your income needs in retirement. The plan suits those who do not require a guaranteed income • Investment returns. A guaranteed fund provides security against capital reduction • Fees charged. Very high fees may affect your future income
What are the risks of this plan?
The risks are that you could outlive your retirement savings and that the investment returns could be poor resulting to reducing income.
What fees do I need to pay?
An initial fee of 3.5% of the lump sum deposited is payable at the outset. Britam may at its discretion give a discount on the fee applicable.
How do I join?
To join, fill in an application form and provide us with copies of your national Identification Card, PIN certificate and benefits statement.