Pensions advice
Our Independent Financial Adviser, James Mann, can help you with the complex and ever changing area of pension regulations so that you take out the best possible pension solution. Make sure you have the right financial solutions in place to make your retirement as happy and financially sound as possible.
The background
We expect that due to the decline in final salary schemes we will have a pension income short fall at retirement.
The facts
The Maximum state pension is:
- £87.30 per week for a single person (£4,539.60 per annum 2007/08), and
- £139.60 per week for married couples (£7,259.20 per annum 2007/08)
Clearly if you rely solely on the state pension you face a significant drop in your lifestyles in retirement.
Find out the value of your State Pension using the Forecast website: http://www.thepensionservice.gov.uk/atoz/atozdetailed/rpforecast.asp.
Encouragement is, therefore, given to save privately for retirement in the form of pensions.
Your pension is often the most valuable asset after your home and, therefore, needs regular review.
Benefits of pension plans:
- you can receive 40% tax relief on contributions depending on the level of income tax you pay
- you can take 25% of the fund as a tax free lump sum at retirement whilst using the remaining 75% to generate an income
- since Pension Simplification came into force on A-Day (include ALT text for definition of A-Day) you may now contribute up to the amount you earn each year subject to the annual allowance (£225,000 2007/2008)
- the changes also brought in a Lifetime Allowance (£1.6 million for 2007/08) for accumulated funds, due to the tax liability it is very inefficient to have funds in excess of this amount held in pension contracts, and you should consider other savings vehicles
Contact us now to discuss how we can help you by completing our, no obligation, online enquiry form and we will call you back or you can call us directly on 0844 858 3200.
Print