Tax treatment varies according to individual circumstance and is subject to change.
Saving for Retirement
A secure, comfortable retirement is everyone’s dream and because we’re living longer we can expect to spend more time in retirement than our parents or grandparents did. The sooner you start planning the better, but better late than never.
There are many different ‘tools’ used to save for retirement and the taxation and investment elements of pensions can appear baffling. We specialise in explaining, recommending and monitoring pensions for you.
Although the State does provide some basic financial security in the form the State Pension, the amount you receive depends on the number of years you have worked, whether you were employed or self-employed and your level of earnings during your working life.
Many people’s pension situation is complex, with a number of different pension schemes being accumulated over their working life. As part of our financial planning process, we will take time to unravel the detail and consider whether you have adequately provided for your retirement.
If you are in employment then you should have access to a workplace pension, which all employers must now offer by law. However, if you are self-employed then you will have to set up a personal pension.
The value of pensions and investments can fall as well as rise, you may get back less than you invested.
Drawing your Pension
Everyone with a defined contribution (money purchase) pension now has full access to it from the age of 55. Up to 25 per cent of the pot can be withdrawn tax free, with the remainder taxed at the individual’s marginal rate. What you do with your pension savings is now up to you: the numerous options include investing for income, drawing out lump sums, purchasing an annuity, or any combination that suits your needs in retirement. Being pension specialists, we can talk you through the pros and cons of each option and advise on which route will fulfill your retirement needs.