The only way to keep a healthy financial spring in your step as you enter your retirement is through your own savings.
There are a wide range of pension schemes available. Our service is aimed at personal pensions, where you have made and may wish to continue to make, contributions to help fund your retirement. The contributions are invested in a range of different investments to build up a sum of money over time. This sum then provides a retirement income later in life.
The Government wants to encourage people to save for their retirement. For that reason, it has made pension plans more attractive. One way it does this is through tax benefits:
- Any contributions you make to a pension receive basic rate tax relief, even if you don't pay tax.
- If you pay higher rate income tax, you can reclaim extra tax relief through your self-assessment form.
- Once invested, your savings grow virtually free of tax.
- If you die before taking your retirement benefits, your husband, wife, civil partner or dependants don't normally have to pay tax on any lump sum they receive.
All these tax benefits help you build a better retirement. Tax treatment depends on individual circumstances and may be subject to changes in the future.
What Will the State Give You?
It would be nice to think that we'll receive a generous income from the government when we retire.
Unfortunately, that simply won't be true for most of us - no matter how hard we've worked. If you don't provide for yourself in retirement, you cannot rely on anyone else to. The reason is simple. The income provided by the State is no more than a safety net, designed to give pensioners a minimum standard of living. Most of us will need to save a significant amount if we want to maintain our existing lifestyle.
- In the current tax year (2017/2018), the Basic State Pension is £159.55 a week for a single person.
Living Longer is Bad for Your Wealth
The average life expectancy is going up all the time. It's not uncommon for people to live into their eighties and beyond. In itself, that's obviously a good thing. But think about it for a moment.
More retired people means fewer working people as a proportion of the population. That means fewer taxpayers supporting more pensioners. Which means that State pension provision is likely to be even less generous in the future.
Taking Decisive Action!
We believe that pension schemes have historically charged too much and not delivered enough investment fund performance to help you achieve your retirement plans. So, we offer a free review service. If you are happy with our thoughts and choose us to be your retirement adviser we will then give you financial advice, looking at whether a cheaper alternative product might be better. We also look at the investments themselves and advise on whether an alternative approach might just be the best thing for you. It is your choice, but we look forward to having the opportunity to talk with you.