Flexible, Tax-Efficient Retirement Income on Your Terms

What is APA Income Drawdown Plan?

The APA Income Drawdown Plan lets a member access retirement benefits as a regular income — fixed or variable — drawn from an investment retirement fund, as an alternative to a lifetime annuity. The undrawn balance remains invested in the APA guaranteed fund with capital guarantees, and the residual amount is accessible after a minimum 10-year term.

Established as a trust and regulated by the RBA and KRA, it keeps your fund invested and guaranteed while you draw a flexible, tax-efficient income — with a death benefit and the freedom to switch to an annuity or lump sum after the term.

Highlights

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  Regular income (monthly, quarterly, semi-annual or annual) drawn from your retirement fund.
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  Up to 12% of the outstanding fund balance withdrawable per year.
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  Undrawn funds invested in the APA guaranteed fund with capital guarantees on the balance.
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  Residual fund accessible after 10 years — continue drawdown, buy an annuity or encash.
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  Death benefit: outstanding fund balance plus sum assured of 50% of purchase price (capped at KES 2.5m).
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  Transfers into the plan are tax-exempt; withdrawals are tax-free.