Life annuities work in the following way: while you are working, you place capital with an insurance company. At the time of your retirement, the latter then undertakes to pay you a fixed amount at each agreed due date.

When the capital you have paid is used up, you will still continue to receive your pension.

The advantages of a life annuity:

• It is a guaranteed annuity, which, unlike conventional savings, does not depend on fluctuations in the financial markets.
• It allows you to protect your spouse in the event of your death, (s)he will continue to receive your pension.
• Only 40% of its amount is taxable, which allows for a significant tax advantage.