State Pension Post 6th April 2016 – Some Facts
As is becoming increasingly prominent in the Press, the State Pension is changing. For those retiring after 6th April 2016, males born after 6th April 1951 and females born post 6th April 1953 you will be eligible for the full new State Pension of £151.25 per week; this amount maybe subject to change in the […]
Pensions complification!
As if changes to the Lifetime Allowance, April 2016, and alterations to Pensions Input Periods wasn’t enough to contend with, those with earnings over £110,000 now need to be mindful as to what they can contribute into pension in the near future. Those with a passing interest in pensions may know that the Annual Allowance […]
“Relevant Property Trusts”: Ten Years On
March 2016 will represent the ten year anniversary since inheritance tax changes were introduced to trust rules. From March 2006 settlements into trusts with an interest in possession were no longer treated as Potentially Exempt Transfers (PETs) but rather as Chargeable Lifetime Transfers (CLT), which was already the case with discretionary trusts. A PET will […]
Why a dividend income strategy doesn’t look quite as beneficial for long-term investors
Unintended Consequences? A consequence of George Osborne’s Budget on Wednesday may mean that individuals wish to reassess how their savings are invested. The Chancellor introduced changes to the taxation of dividend income starting with a dividend allowance of £5,000 a year for all taxpayers, from April 2016. The next change is dependent on the amount […]
Why the pensions’ lifetime allowance should be abolished
There is a response to this post, “Why the lifetime allowance will not be abolished” by Alistair Cunningham Historically when £255,000 could be squirrelled away into pension funds on an annual basis some sort of cap on how much could be accrued in a tax privileged pension wrapper could perhaps have been justified. Pension contributions, if […]
Pensions’ flexibility; but with a warning!
The 6th April 2015, “Lamborghini” Day trumpeted access to defined contribution pension plans without restriction. In most instances there is access to 25% tax free cash with the balance subject to income tax. This raises the question as to how ad hoc or one off withdrawals are taxed if you want to dip into your […]
Wills – why bother?
If it is important to you what happens to your assets after you die then taking the time to establish a will is paramount. Listed below are some reasons why taking action may be of interest. Peace of mind Making a will is the only way to ensure that your savings and assets (your estate) […]
Should I fund an ISA or a Pension?
It would be fair to say that the common perception of pensions as being complicated when compared to ISAs has kept them in the doldrums, when considering whether to commit regular savings or a one off amount to either of these types of investments. Recent changes and proposed changes mean that this investment decision may […]
Buy (almost) now while stocks last – NS&I pensioner bonds
Cash or money held on deposit forms an important part of personal financial planning. Typically we would expect to see around six months of living expenses in the bank for emergencies. Many people will hold more than this, with cash acting as an important security blanket particularly when the ability to be able to add […]
Wag Your Own Tax Tail
Paying income tax, at best, is begrudgingly accepted as a necessity. Paying as little as possible is appealing to most of us. Business owners, and the employed in particular, may well have the ability to reduce their immediate income tax bill and manage it in retirement. In some instances an effective rate of income tax […]
