Pensions Glossary - W

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Waiting Period. Particularly used in connection with a specified period before joining a pension scheme or becoming eligible for some other employee benefit. Not to be confused with Qualifying Service.

Waive. To give up a right to something.

Waiver of Premium. A policy option which provides for the insurance company to waive payment of the policy premium in certain circumstances e.g. sickness or disability.

Warrants. Certificates giving the holder the option to buy shares at a fixed price at a future date.

Wealth Warning. General phrase relating to the mandatory requirement to warn clients of the inherent risk in certain courses of action e.g. 'the value of investments can fall as well as rise', or, 'failure to maintain mortgages payments could result in the loss of your home'.

Whole of Life. Essentially a protection policy with investment content that remains in force until death, at which point it pays out. As the contract is capable of acquiring value, it is possible to surrender the policy. Will. A document drawn up by a testator appointing executors to administer the estate on death and laying out how the estate is to be dealt with after death. A testament is a statement relating solely to personal effects, not land.

Winding Up. The termination of a pension scheme, where assets are used to purchase the accrued liabilities of the pension scheme, either by purchasing immediate and deferred annuities, or transfer to another pension scheme.

With Profits. A class of policy which participates in the distribution of surplus in the form of bonuses. Such policies are termed 'with profits'.

Withholding Tax. Tax deducted by many countries from income payments such as dividends, interest and royalties. May be offset, reduced or negated by Double Taxation Relief.

Working Capital. The difference between current assets and current liabilities, being available to run the day to day activities of a business. Writ. Court order instructing someone either to do, or not to do, something.

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1998 - 2007 UK Pensions - Planning before, at the onset and during retirement - Pensions.co.uk