Brand Bitesize: Understanding Phased Annuity Purchase

In this Brand Bitesize video, we break down Phased Annuity Purchase – a key retirement income option often tested in the CII’s R04, J05, AF5, and AF7 exams.

This video is correct as at 4 September 2025.

Understanding Phased Annuity Purchase

You’ll learn how phased annuity purchase works step by step; the role of Pension Commencement Lump Sum (PCLS) in phased retirement; how income is built up over time using multiple crystallisations; a worked example showing how exam questions are likely to test this concept; and why phased annuity purchase can provide a flexible, tax-efficient income in retirement.

Remember: in exam questions, if phased annuity purchase is mentioned, it is assumed that PCLS is always taken.

This bitesize video is perfect if you’re preparing for the CII R04, J05, AF5, or AF7 exam and want a clear, practical understanding of phased annuity purchase.

Grab the resources you need!

If you’re studying for your CII R04 exam, and you’re aiming for a comfortable pass, you need to get all the practice you can. Grab our free taster to try out one of Brand Financial Training’s resources for yourself.  Click the link to download the R04 calculation workbook taster now!

Alternatively, you can try the taster for AF5, AF7, or J05 if you’re studying for one of those exams.