Articles and News

16Apr

Women expect to retire on £4,800 a year less than men

Women expect to retire on £4,800 a year less than men
Women retiring in 2015 expect a retirement income 25% lower than men, according to the Prudential’s annual ‘Class of’ research. However, the research also reports that the retirement income gender gap is at its lowest since 2009, when Prudential first started tracking the difference between male and female retirement income expectations as part of its ‘Class of’ research. Women appear to be increasingly optimistic about their finances in retirement.

Posted in Saving, Retirement Planning

14Apr

How good does the Second-Hand Annuity Market look?

How good does the Second-Hand Annuity Market look?
The Chancellor, George Osborne, has confirmed that from April 2016, some five million existing annuity holders will be given the right to sell their annuity in return for a lump sum. The move should give those pensioners who are already locked into potentially poor-value annuities the same freedoms as those retiring after April 2015, who will be able to spend their savings as they wish. Like any other saver taking cash out of their pension, the money will be subject to tax at their marginal rate – that is, the highest rate of income tax that they pay.

Posted in Saving, Investments

15Apr

The End of the Tax Return

The End of the Tax Return
The Government (HMRC) intends to modernise the tax system, with tax returns being replaced by digital tax accounts for millions of individuals and businesses. Each taxpayers’ details will be in one place, just like an online bank account, so they can register for new services, update their information and understand quickly what they need to pay — without ever having to complete a tax return again. By early 2016, five million small businesses and the first ten million individuals will have access to a secure, personalised digital tax account. By 2020, more than 50 million individuals and small businesses will have a secure, personalised digital tax account. The need for millions to complete a tax return will be gone and the tax system will be simplified for millions more.

Posted in Tax

13Apr

The New Pension Freedoms Checklist: Four Things You Must Do Before Making Any Decision About Your Savings

The New Pension Freedoms Checklist: Four Things You Must Do Before Making Any Decision About Your Savings
The new pension freedoms are great news for savers, with more flexibility and options for retirement now available. However, the freedoms also come with a level of risk, particularly for that first wave of savers looking to exercise their new rights in the next twelve months or so.

Posted in Saving, Life Planning, Retirement Planning