We provide our clients with a timescale, depicting the length of time it might take to achieve their financial goals. We examine how much they want to spend both now and later on in life, considering additional costs which could occur along the way such as school fees, new homes and retirement. We also contemplate factors which could affect this type of planning such as inflation, the performance of your investments and other life events such as receiving an inheritance – all of these could potentially impact the value of your wealth.
Our expert advisors work with you to produce a detailed cash-flow plan, based upon your immediate situation and long-term objectives. We will consider different scenarios to help clarify future uncertainty, applying the detailed research of our chosen investment professionals in order to produce a suitable portfolio, allowing you to achieve your financial and life objectives.
The value of ongoing reviews cannot be overestimated. In any financial plan, things will change – reacting to those changes as soon as possible will be vital in keeping your plan on track. We insist upon regular reviews to monitor the performance of your investments, adapting to any changes in your goals and/or what is happening in the world.
Pensions and Retirement Planning
Whatever you envisage doing when you retire, whether it’s travelling the world, taking up a new hobby or moving abroad – the earlier you start to plan, the more achievable your goals. We help you to make the most of your pension and other investments, shaping the retirement you want and deserve.
Initially, we will discuss how you envisage your retirement. Then we can calculate how much money you will need to achieve your goals. Using this, we will analyse your savings and outgoings to find out how long your money will last and whether you’re on track, as well as identifying necessary spending adjustments. We call this cash flow modelling.
Saving for retirement
Saving for retirement is possibly one of the most important financial challenges people will face. We advise on many areas, including:
- Paying additional pension contributions, utilising pension carry forward rules
- Maximising the annual allowance you can pay in to pensions, understanding the complicated allowances for higher earners
- Measuring your pension against the lifetime allowance tax charge
- Utilising your ISA allowance and other investments and savings to produce income in retirement savings
- Managing your investments with a range of high quality fund managers
Who gets my pension when I die?
Under current legislation, pension funds are free from inheritance tax. This means that passing your pension to your family can be a very effective estate planning tool. In retirement, we often use other funds and investments when setting up clients’ income, leaving their pension untouched so that as much of it as possible can be passed down to the next generation, tax-free. However, due to the total flexibility over taking income from investments and pensions, this strategy can be constantly reviewed to make sure it is still in line with legislation should it change.
Taking an income
From the age of 55 we will work with your investments and pensions, setting up a targeted and tax efficient income for when you retire. Income can be set at levels that keep you within tax brackets to minimise income tax, we can also use the tax free allowances from your pension and tax free income from ISA to provide a very tax efficient income. This allows us to include estate planning when setting up income in retirement. We will also show you how long your money should last and how much you can afford to spend each year.
You will be relying on investments held in your pension and potential other accounts for an income in retirement. This makes it especially important that your money is managed professionally and in line with agreed parameters – our chosen investment managers can make sure of this. We have strategies that allow you to be involved in investment decisions, alternatively you can delegate management to professional managers. We would be happy to discuss the differences of both approaches with you.
We manage your investments for you, or give you advice on your investment decisions.
Ongoing review of your portfolio over time is essential, ensuring it continues to match your circumstances and objectives. This will include discussion around your level of investment risk, which is likely to change over time, as well as switching the focus of your portfolio from growth to producing income when you retire.