When we talk about risk most people automatically think about investment risk. However, important as it is, this is only one of the risks that you need to watch out. Managing retirement risks There are many other different risks you should take into consideration during your retirement. These range from the risk that you might be too cautious and therefore get locked into low r ...
This is Money Emergency
Brilliant article in This is Money by Tanya Jefferies
Fifty financial advisers team up to offer free half-hour sessions to over-50s with money troubles in coronavirus crisis
Wills and LPAs
I was listening to Michael Buerk on the Moral Maze which had the very apt title “Danger and Opportunity?”
In the introduction Michael said words to the effect that “many of us are banged up at home writing our wills according to the law Society which is struggling to keep up with demand”
I once had a client who said: “Give me a one-handed adviser”. He went on to explain that I kept on saying ‘on the one hand this and other hand that’, but he just wanted the answer.
I understood his frustration but as soon as I explained there was not one right answer and it was important to consider both sides of the argument he was happy with my two-handed approach.
Advice in the workplace
When presenting to trustees I always know when I have got their attention because I get a strange look when I ask; “Do you want your members to a second-class service”?
I go on to explain that if people contact me for help as they approach retirment because they may have seen my name in the papers on heard me on the radio ask one of the team will give them a personal service. This involves explaining all of their options and an offer to tailor our advice to their individual circumstances.
Think of your pension as a long salami – OK think of a £ 100,000 pension pot as being made up of 10 separate pots with £ 10,000 in each pot.
Instead of chopping off 25% of the salami and eating it (sorry, spending it) without giving any of it to the tax man, you can just chop of a slice of the salami (e.g. £ 10,000) and take 25% (£2,500) tax free.
Fixed Term Plans
Historically, the only way to convert a pension fund into income was by purchasing a lifetime annuity or investing in pension drawdown. One is totally secure but inflexible, the other completely flexible but has a number of risks.
Then in 2007 the first fixed term annuity or fixed term income plan in 2007 was launched.
MOS annuity misselling part 2
Are you worried you may have been mis-sold an annuity? The letter that can help you beat the insurance bandits - By Jeff Prestridge for The Mail on Sunday Published: 22:31, 12 October 2019
This is a brilliant article in the Mail On Sunday - Hundreds of pensioners have backed The Mail on Sunday’s campaign calling for insurance companies to compensate all customers who were railroaded into taking out inappropriate pension annuities, going back to the early 2000s. Launched last week in the wake of a £23.9million fine imposed on Prudential for mis-selling annuities from 2008, our Justice for Annuity Victims campaign has drawn overwhelming support – not only from readers bamboozled into poor-value annuities they cannot escape, but also from pension experts.