News & Resources

Life events

What will influence your retirement income needs?

Retirement is a time for you to do the things you’ve always wanted. When considering your retirement income needs, you need to consider the types of events you would like to happen after you retire that may impact your budget. Thinking about these early could help you when you’re deciding the best way to take your pension savings.

Perhaps you’re looking forward to having more time to explore faraway places. Or maybe you … Read the rest

Why being over 40 is the new mid-20s

Healthier lifestyles and feeling happier about financial planning for retirement

An increasing number of middle-aged Britons are getting healthier as they exercise more and eat better than they did when they were younger. Over-40s are turning to healthier lifestyles, with more than half rating themselves as more health-conscious than they were in their mid-20s, according to new research[1].

Nearly one in five (17%) of working over-40s say they are physically fitter than they were in their mid-20s, the nationwide study … Read the rest

New lease of life

Pensioners embracing the benefits of retirement and new-found time

As with any new life stage, planning often helps a smooth transition from the old to the new. Preparing properly for anything new requires planning and commitment. Spending time on planning now will ensure you enjoy the retirement you’ve worked hard to achieve.

According to new research[1], retirement has meant a new lease of life for millions of people who have given up work in the last ten years, with more … Read the rest

Sleepwalking into a pension shortfall

 

Auto-enrolment shouldn’t be seen as a silver bullet

How much money you should be saving for your retirement is a key question when visualising the type of retirement lifestyle you want. However, the 13th annual Scottish Widows Retirement Report reveals that, despite the success of auto-enrolment – 80% of 22 to 29-year-olds are paying something into a pension – 70% of them are not putting away enough. This puts at risk their ability to achieve their desired income of
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Tax matters

 

Improving your chance of a better retirement income

Every client’s story is different. Each one is unique. We invest significant time to understand your very personal circumstances. We do this for all our clients, and setting your retirement income target is an essential part of this process. The income you receive in retirement will depend upon four factors: how much is contributed, how well your investments perform, when you retire, and how you take your income.

How much you

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Retirement taxation

 

Understanding the bottom line

Retired households handed over an average of £7,400 each in tax last year – the equivalent of nearly 30% of their annual income, according to analysis of newly released data[1] by Prudential.

The total annual tax bill for the UK’s 7.1 million retired households was £52.7 billion from direct and indirect taxes, according to the most recent available figures from the ONS.

Retired household taxes

The average retired household saw its tax bill rise by … Read the rest

Gender income gap

 

Minimising the impact on your retirement income

The gap between women’s and men’s annual average expected retirement incomes in 2017 has grown by £1,000 in the last year, according to new research[1].

Future financial plans

The unique annual research has, over the last ten years, tracked the future financial plans and aspirations of people planning to retire in the year ahead. This year’s Class of 2017 research shows that women expecting to retire this year will be £6,400 a … Read the rest

Planning for your retirement

 

Getting ready to slow things down

One of the critical aspects of retirement planning is how you structure your financial affairs to make sure you have sufficient money if and when you stop working.

Making sure you have enough money in retirement to enable you to spend your time the way you want to, doing those things you always intended to do, is likely to be at the heart of planning for your retirement.

Too complicated to think about

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Savings behaviour

 

UK pension system is sustainable but inadequate

It’s been estimated that 18% of earnings need to be saved each year to achieve an adequate income during retirement, an International Longevity Centre (ILC) report has concluded.

It said the contribution level, which is nine times higher than current auto-enrolment rates, would help savers accumulate an income of 70% of their pre-retirement earnings.

Income adequacy

The results also showed 20% of earnings must be saved every year to match the income … Read the rest

Dreaming of an early retirement

When you quit the rat race, will you really have the time of your life?

We all know that we need to save money for our retirement, but knowing it and doing something about it are very different things! Younger generations may be bracing themselves to work well into their 70s – but the early retirement dream lives on for many people retiring this year. New research from Prudential[1] has found six in ten (60%) of those giving up work
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Working 9 to 5

Almost three quarters of employees expect to work beyond the traditional retirement age

The proportion of UK employees who say they will work beyond the age of 65 is at an all-time high. The findings from Canada Life identified that almost three quarters (73%) of employees expect to work beyond the traditional retirement age, up from 67% in 2016 and 61% in 2015.

Younger workers are particularly likely to expect to work past the age of 65, rising to more … Read the rest

Retirement choices

How much time do you spend planning for retirement?

The 2015 pension freedoms gave us greater flexibility over our retirement options, but the reforms have also made retirement choices much more complex. This means we need to start thinking about our retirement earlier. However, half (50%) of respondents aged 45–54 to a LV= consumer survey[1] didn’t think about retirement at all last year.

Given the lack of time people spend thinking about retirement, it’s perhaps unsurprising that six in ten … Read the rest

Pension time bomb

Planning to prevent the financial equivalent of climate change

Millions of workers across the UK could be heading for a significant shortfall in the amount of pension they need for an adequate income. The World Economic Forum (WEF) has issued a warning that calls on the Government to impose faster pension-age rises as it earmarks the UK as one of several countries facing a ‘pension time bomb’, with the UK pension savings gap reaching £25 trillion by 2050 if action
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Golden years


Key to a positive retirement lifestyle

Unfortunately, some individuals do not realise the importance of planning for their retirement. The amount of money saved for retirement will eventually have a profound impact on how we live our lives and our standard of living in our golden years.

Typically, retirement is the best time to transform the dreams that we had whilst working into reality, and it should also be a time free from money worries, but we can only do … Read the rest

Income matters

Providing the foundation for an exciting new chapter in your life

Nobody knows quite what the future holds. The good news is we are all living longer. Advances in medicine and healthier lifestyles have led to an increase in the average life expectancy of both males and females.

The bad news is we have to find ways of funding that retirement and longevity. But low interest rates and bond yields – the traditional sources of income – aren’t sufficient to … Read the rest

Gender savings gap widens

Report findings suggest this trend is set to continue

Half of women (52%) are now saving adequately for their retirement compared to 60% of men, according to the latest Scottish Widows ‘Women & Retirement’ Report. But while this maintains the record high levels achieved in 2015, the gap between men and women has widened since 2014 when 50% of women were saving adequately compared with 55% of men.

Pessimism levels are also higher among women, with nearly three fifths (57%) … Read the rest

Forgotten pensions

Out of sight, out of mind

The extent to which pension policies are being forgotten has been revealed in research from Aviva. A survey of almost ten thousand people who hold a pension has revealed that just under one in eight (13%) admitted they have at least one pension that they had forgotten about[1]. This is equal to more than 2.5 million pension policies currently sitting in the back of people’s minds[2].

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Among those with a forgotten pension, the majority … Read the rest