From 6 April 2011 the annual allowance for pension contributions reduced from £255,000 to £50,000. While this restricts the levels of contributions you can make without attracting an Annual Allowance charge, on the plus side the Government has brought back the Carry Forward rules. Increasing pension contributions The principle of Carry Forward allows you to [...]

UK savers face retirement savings gap The Chartered Insurance Institute (CII) has looked at the cost of living post-work and found that average incomes achieved by retirees are insufficient. UK savers face a retirement savings gap of £9 trillion due to increasing levels of debt, the cost of long-term care and insufficient pension savings. The [...]

Removing the cap on the income you can take After years of saving into your pension fund, you’ve now decided you want to retire and are overwhelmed by the retirement options available. We can work with you to choose the right strategy in order for you to enjoy your retirement years. If appropriate to your [...]

Revolutionising the way pension benefits are taken Your pension is one of your most valuable assets but is it working as hard as it should be? The new retirement rules will revolutionise the way pension benefits are taken, making retirement more flexible. Did you know? 1. Age 75 rule abolished There is no longer a [...]

Retirement income consumed by the basic costs of living Investors buying a level annuity with a pension fund of £80,000 will spend their entire monthly income on basic living costs within seven years of retirement, according to new statistics. Standard Life researchers have warned that many people could see their retirement income consumed by the [...]

Compounding of returns for the long term If you are an income seeker, frozen interest rates at historic lows mean real losses for many savers in bank and building society deposits which fail to match inflation. The most popular forms of income investment are bonds (which are also known as ‘fixed interest’ investments) and cash, [...]

Planning for the future is not to be taken lightly We all want to protect our wealth and help ensure our families are provided for when we die. However, increasingly HM Revenue & Customs (HMRC) are challenging the valuations of properties given for Inheritance Tax (IHT) purposes, according to accountants UHY Hacker Young. IHT is [...]

Choosing from different sectors There are thousands of investment funds to choose from and they are divided into different types or sectors. You can buy funds that invest in shares, corporate bonds, gilts, commodities and property among other things; they will also typically have some form of geographical focus. The wealth of choice means you [...]

Counteracting the pensioner’s worst enemy Inflation is a pensioner’s worst enemy. Over time, it will reduce the value of your income unless you take measures to counteract it. With retirement often stretching to twenty to thirty years, your income should keep pace with inflation. The State Pension and most final salary schemes will usually build [...]

How the new rule changes could affect your future planning As life expectancy rates in the UK continue to rise, the coalition Government estimates that nearly one in five people will live to see their 100th birthday. Radical legislation will attempt to ensure pension savings are sufficient for these retirees, which in turn will help [...]