The Hungarian Guide - Investing and retiring in Hungary

  • A stunning capital with unique setting A stunning capital with unique setting
  • walking and birdwatching paradise walking and birdwatching paradise
  • undisturbed nature rich in rare species undisturbed nature rich in rare species
  • enjoy the 144 mile lakeside cycle track enjoy the 144 mile lakeside cycle track
  • Teeming with History Teeming with History
  • over 300 Thermal Health Spas and warm lakes over 300 Thermal Health Spas and warm lakes
  • picturesque lakes with Carp weighing over 100 lb picturesque lakes with Carp weighing over 100 lb
  • Feast on delicious sunripened local fruit Feast on delicious sunripened local fruit
  • Lake Balaton gets as warm as the Caribbean in the summer Lake Balaton gets as warm as the Caribbean in the summer
  • Tranquil Lake Balaton Tranquil Lake Balaton
  • Lush rolling hills of western Hungary Lush rolling hills of western Hungary
  • buy a thatched cottage for under £30 000.. buy a thatched cottage for under £30 000..
  • horsemen and nature lovers paradise horsemen and nature lovers paradise
  • Europe's second largest freshwater lake Europe's second largest freshwater lake
  • A paradise for watersport enthusiasts A paradise for watersport enthusiasts
  • Tihany peninsula- a pearl of history and nature Tihany peninsula- a pearl of history and nature

Pensions

Pensions and Cost Of Living

Hungary a great place for retirementHow about a place where the prices are 60% lower, there is 2000 hours of sunshine, free excellent healthcare for all EU citizens and free public transport for people over 65? Where you can relax those tired limbs in thermal waters of 35 deg C throughout the year and you are only 2 hours from the UK and Ireland with daily flights should you ever need to return home ?

According to Age UK, those with fixed level private pensions have no protection against the effects of inflation upon the real value of the yearly sum they receive. It is therefore true that if such pensioners did face a yearly rate of inflation of 4.6%, the real value of their annuity would be reduced by 60% over 20 years.The latest findings from the MGM Advantage Annuity Index, which tracks the income paid on enhanced and conventional annuities on a quarterly basis, reveal that average conventional and enhanced rates fell by 2.13pc and 2.29pc respectively in just three months.The 2.1pc drop in overall average annuity rates between March and June 2012 also means that rates have fallen by 14pc since June 2009, when the Index was started. Annuity rates could be pushed lower still, perhaps by as much as 20pc, when new EU rules on solvency come into force in 2014, according to Deloitte, the accountancy firm.The main reason for the recent falls is the extreme dislocation in the market for gilts or government bonds. These bonds are used to back annuities, but the yields keep hitting record lows as a result of the financial crisis.More and more pensioners, disillusioned by the double whammy of an incessantly high cost of living and falling annuity rate are looking overseas, and a rapidly growing number are heading for Lake Balaton.