SWT Wealth Management
Advertising feature: The turbulence of the past couple of years has made many people rethink their long-term life plans. In particular when they retire, and how they want to spend their retirement. Coming up to tax-year end is a good time to think about making any changes.
Some days you can’t imagine ever retiring. Other days, it can’t come soon enough. But there will be a day when you want to put work behind you, and live life differently. And a rewarding, comfortable retirement is something that takes careful financial planning. These days, retirement planning is about making sure you’ve got plenty of options to live later-life the way you want to, not the way your retirement income means you have to.
That’s why it really pays to use your tax allowances and reliefs each year to boost your pension pot, as you get closer to that retirement party.
The first step is to take a good look at your current financial landscape, and make sure your money and assets are working as tax-efficiently as possible. Feeling confident that you’ll be able to achieve the retirement you imagine is all about planning ahead to make sure you’ve got the retirement income to make it happen. You’ll almost certainly have ISAs and pensions as one of your main sources of income in retirement. Since both of them can help shelter you from tax on dividends, interest, and profits, using them well can help make your money go much further.
One of the best ways to boost your pension pot before tax-year end is to use as much of your full pension annual allowance that you can. In 2022-23, this is still 100% of your salary or £40,000– whichever is lower. If you can, also use as much of your full £20,000 tax-efficient ISA allowance, too. The ISA annual allowance is a ‘use-it-or-lose-it’ allowance. But with pensions, you can potentially carry forward any unused allowance from the last three years.
A financial adviser will help you understand the most tax-efficient way of getting there, such as the decisions you need to make, the allowances you can use, and the best order in which to use them. An adviser will keep on top of changes and give you a heads-up on the tax allowances that can help you achieve the future you imagine in later life.
The value of an investment with St. James’s Place will be directly linked to the performance of the funds selected and may fall as well as rise. You may get back less than the amount invested.
The levels and bases of taxation, and reliefs from taxation, can change at any time and are generally dependent on individual circumstances.
SWT Wealth Management is an Appointed Representative of and represents only St. James’s Place Wealth Management plc (which is authorised and regulated by the Financial Conduct Authority) for the purpose of advising solely on the Group’s wealth management products and services, more details of which are set out on the Group’s website www.sjp.co.uk/products. The ‘St. James’s Place Partnership’ and the titles ‘Partner’ and ‘Partner Practice’ are marketing terms used to describe St. James’s Place representatives.
To find out ways we can help visit: www.swtwealth.co.uk or contact us on 029 2252 0168 or 07946183512
SJP Approved 21/12/2022