Approaching retirement brings with it many concerns and considerations. After all, you don’t want to spend decades working hard only to feel in penury when you finally retire. These considerations, and the more complicated tax position, can be particularly bothersome if you are a business owner or director. Take, for example, this client, the director of a large print broking firm.
He approached us well before he was due to retire because he wanted to be sure there was time to make and implement the necessary plans. First, we maximised the ultimate size of his pension fund by means of a more appropriate investment strategy and by ensuring his contributions were tax efficient.
A thorough fact-finding exercise took place to establish exactly what would be his likely requirements for a lump sum and ongoing income. And we explored options with him such as a range of annuities and an unsecured pension (often referred to as drawdown).
Through proper Inheritance Tax planning, we were able to secure his wealth for future generations. This in-depth analysis and planning, which began a number of years before our client actually retired, ensured that we secured not only our client’s retirement but also his legacy, as well as protecting his wealth for several generations of his family.
An ongoing review process throughout his retirement years will ensure that these plans stay on track, allowing him to give up work, but actually be busier than ever.