Financial Planning

Removal of NEST restrictions welcomed by pensioner group

Malcolm Booth_New_CEO_at_NFOP_Oct2012The National Federation of Occupational Pensioners welcomes the Work and Pensions Committee report, which recommends the removal of the restrictions on NEST. 

Previous restrictions included a cap on the total level of annual contributions which can be paid into NEST each year and the inability to transfer pension pots in and out of NEST. As the intention of NEST is to encourage all those in employment to save for their retirement, it is imperative that there are as few discouragements as possible.

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How to cut your inheritance tax liabilities - despite government U-turn

devere group logoMillions of families will be hit by the coalition’s U-turn on its flagship pledge to reform the inheritance tax (IHT) system, but there’s no need to panic as there are still various ways to mitigate your IHT liabilities, say financial advisers.

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Help is on hand with the cost of funerals

Age Scotland_ILL_Logo_CMYK_COrganising a funeral involves a great deal of emotional and mental strength and it’s important to not ignore the impact on finances.

Dealing with the costs of a funeral is extremely important which, if not planned for, cause unnecessary stress during a very difficult time.

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Average owed by people retiring with debts in 2013 has fallen

Prudential logoNearly one in five (18 per cent)1 of those planning to retire this year will have outstanding debts, averaging £31,200 each, according to new figures released today by Prudential.

Its Class of 2013 research, the latest of the annual studies conducted by Prudential since 2008, tracks the plans and expectations of people entering retirement this year.

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Most will stay in a pension scheme under auto-enrolment

steve webb_mpNew Government figures suggest most people will stay in a pension scheme and start saving for their old age under automatic enrolment.

The Department for Work and Pensions has published its latest survey on retirement saving, Attitudes to pensions: The 2012 survey.

The research shows nearly three quarters (70 per cent) say they are likely to stay in a pension scheme if they are eligible to be automatically enrolled.

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Greater industry transparency could help retirees get a higher income in retirement, argues ILC-UK

final ILC_logo_JPEG_fileGreater transparency in the annuities industry, better targeted information for consumers and a greater role for technology could play a significant part in mitigating any negative impact of new rules which change the way people pay for financial advice. 

With around 50 days to the introduction of the retail distribution review (RDR), the International Longevity Centre-UK (ILC-UK) has today published “Advice for all”, a new report which sets out practical solutions to address the advice gap post RDR.

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Fixed term annuity market to grow by 26% in two years

More than three quarters (77%) of specialist retirement income advisers expect the fixed term annuity market to grow in the next two years, according to new research from innovative retirement income specialist, Primetime Retirement. Indeed those IFAs anticipating growth think that on average, the market will grow by 26%.

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Taxing situation

Thousands of people are losing more than £1,000 every year by failing to claim all the tax relief available on their pensions, experts have warned.

Six in ten of those entitled are not collecting the full 40 per cent tax relief on their pension contributions.

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Age UK's comment regarding the financial planning of retirement

Gordon MorrisGordon Morris, Managing Director of Age UK Enterprises, said:

“It has never been a trickier time to contemplate retirement. Interest rates are at a record low, negatively impacting savings, and tumbling annuity rates are further eroding retirement finances. For many, retirement in their early sixties is now a pipe dream as their savings will not be sufficient to fund their later years. It’s therefore more important than ever to plan ahead and think about the timing of your retirement and look at options to boost your retirement income to maximise your income in later life.

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