This week sees us welcome in the first day of autumn and we’ve launched our Autumn Financial update ready for you to read.
In the update, we’re thinking about the unexpected and asking you to think about your own financial planning process. It seems fitting for this time of year when the plants die back, animals hibernate and the darker evenings descend on us. Nobody wants to think about the unexpected, let alone plan for it, but as advisers we spend a lot of time making sure you’re as prepared as you can be to meet your expected financial requirements.
The typical situations our clients ask us about are building and maintaining wealth in a tax efficient way, providing for your income in retirement and making sure your children are well provided for.
But what about putting provision in place for the unexpected like long term illness, accidents or even an early death? Life insurance can provide a financial cushion for those left behind and the cost is much lower than you might expect. Likewise, income protection is invaluable if you suffer an accident or long term illness that prevents you from earning money.
Here are some of the stories we’re covering in this most recent update:
About to draw your pension benefits?
If you are going to turn your pension fund into a retirement income in the near future, the outcome of the EU referendum has complicated matters. Under the new pension flexibility, you can draw down part (or even the whole) of your pension fund as a lump sum, with 25% normally free of tax and the balance subject to income tax.
Brexit fallout: what are the implications?
From cash to gold, we discuss some of the implications of Brexit. But common sense seems to prevail and the answer to unexpected events is always to invest for the long term without panicking when investments fall and to diversify by not putting all your investment eggs in one basket.
Inheritance tax: the silent tax collector
In a recent report on the changing nature of UK tax revenues, the Institute for Fiscal Studies (IFS) noted that “There is an increased reliance on smaller taxes” of which IHT is a good example of one that is quietly producing an increasing slice of the total tax take. If you do not want the Exchequer to be a major – or even the largest – beneficiary of your estate, then the sooner you begin planning, the better.
To sum up, the unexpected sometimes happens. How ready are you and your family for the unexpected? Download your complimentary copy of the autumn update here.