Finance

Your 50’s – the crucial decade for financial planning and advice

 1024 574 Jess Easby
By:

If you have not considered financial advice before, your 50s is the time to do so. 

Now is the time to check in on your 

  • Retirement resources 
  • Pensions and contributions 
  • Savings & Investments in the best place at the right risk level 
  • Tax position 

We use sophisticated cashflow software to model your desired retirement plan and identify the gaps and adjustments needed. 

In your 50s and looking for a retirement review? 

Find Your Local Adviser

The importance of drafting a Will

 560 315 Jess Easby
By:
Protect your family from uncertainty and potential conflicts

Many people still lack a properly organised estate plan despite the numerous benefits of writing a Will—such as getting our finances in order, planning our legacy, and ensuring that our loved ones are well looked after.

By taking the proactive step to draft a Will, you can protect your family from uncertainty and potential conflicts, ensuring that your legacy is preserved according to your exact intentions. If you haven’t done so already, now is the time to prioritise this important task and secure the future for those you care about most.

A way to get assets in order

Making a Will often prompts a financial review. It typically identifies gaps in people/s financial planning – often inadequate life assurance or disability income benefit cover. If they’re in an occupational pension scheme, they may need to update their nomination of beneficiaries form. Without a Will, Intestacy laws determine who inherits your estate and in what order.

If you don’t have a valid Will, then effective state legislation steps in and provides a series of rules with you may not wish to apply to your assets and your family. It’s also relatively inexpensive compared to the problems you can create for your family without making a Will.

Specifying sentimental gifts in your Will

We dedicate much of our lives to working hard to provide for ourselves and our loved ones. As we accumulate assets and cherished possessions over time, it becomes crucial to ensure that they are distributed according to our wishes when we are no longer around. Importantly, the gifts mentioned in a Will do not need to be limited to property or cash. This can also include sentimental items with significant emotional value but less material worth, These could be family heirlooms, personal mementoes, or any treasured possessions that we wish to pass down to future generations. By specifying these sentimental gifts in our Will, you ensure that these meaningful items are handed down to those who will appreciate them most.

Leave money to a good cause

While family and friends are likely to be the first considerations when writing a Will, many people also take the opportunity to give a helping hand to causes close to their hearts. For many charities, gifts in Wills account for a significant amount of their income. Without these legacies, much of their work would not be possible. Leaving money to charity could also cut your Inheritance Tax bill.

Some charities will even help you write a Will if you leave them a donation. By leaving 10% of the value of your estate to a charity, you could reduce Inheritance Tax payable on some of your assets from 40% to 36%.

You choose the legal guardians

A Will allows you to appoint one or more legal guardians for children aged under 18. Your chosen guardians will take over the role of bringing up the children on your behalf. This ensures you remain in control and entrust this significant responsibility to people you deeply trust. In addition, having a Will grants you the peace of mind that comes with knowing your children’s future is secured. By choosing guardians, you ensure they are cared for by individuals who share your values and vision for their upbringing.

You choose the executors

Choosing your own executor, the individual responsible for implementing the terms of your Will, can ensure that your estate is distributed by someone you trust. You can appoint people you know and rely on to be your executors and manage your estate. Alternatively, you can appoint professionals to serve as your executors. An executor plays a crucial role in managing your affairs posthumously, ensuring that your wishes are carried out accurately and efficiently. This includes settling debts, distributing assets, and handling other legal matters related to your estate.

“TAKING OUT A LIFE INSURANCE POLICY CAN FURTHER ENSURE THAT YOUR FAMILY IS FINANCIALLY SECURE. LIFE INSURANCE CAN SERVE AS A SAFETY NET, PROVIDING FINANCIAL SUPPORT TO YOUR LOVED ONES IN THE EVENT OF YOUR PASSING.”

You ensure partners are looked after

There’s a common misconception that the rules provide for a ‘common-law’ husband or wife. If you’re unmarried or in a registered civil partnership and don’t have a Will, your partner won’t inherit anything under the laws of intestacy. A Will ensures that couples who live together but aren’t married or in a registered civil partnership can leave their assets to each other. Taking out a life insurance policy can further ensure that your family is financially secure. Life insurance can serve as a safety net, providing financial support to your loved ones in the event of your passing.

A Will should be updated

A Will should be reviewed at least every three years and whenever there’s a significant live event, such as the birth of a child or when children become adults. Keeping your Will up to date ensures that it reflects your current wishes and circumstances. Amending a Will is straightforward – you can rewrite parts of it with something called a codicil. This allows you to make minor adjustments without drafting a completely new document.

Peace of mind

Making a Will can relieve a considerable burden on your mind. Completing a properly-arranged Will provides peace of mind, knowing that your assets will be distributed according to your wishes. Writing a Will places you in the driver’s seat for many important decisions, impacting not just your life but also those of your family and friends.

Once written, many people feel great relief, especially when they can cross it off their ‘to-do’ list. However, remember to update it as needed to ensure it remains relevant.

Looking to draft or update an existing Will?

Please contact us for further information on drafting a comprehensive Will and safeguarding your legacy for future generations. Whether you’re just beginning the process or looking to update an existing Will, we’ll help you navigate every step confidently and easily.

Find Your Local Adviser

Why is it important to have a Will?

 1024 576 Jess Easby
By:

By taking the proactive step to draft a Will, you can protect your family from uncertainty and potential conflicts, ensuring that your legacy is preserved according to your exact intentions. If you haven’t done so already, now is the time to prioritise this important task and secure the future for those you care about most.

If you’d like to speak to us about your family’s financial future, get in touch to find your local adviser:


Find Your Local Adviser

Why it’s important to review your current workplace pension

 1024 512 Jess Easby
By:

Arguably one of the most important benefits you will provide your employees is a workplace pension so it is crucial you have the right pension scheme in place for them. The choices you make will have a significant impact on their long term financial well being.

If you would like to review your current workplace pension, please get in touch to find your nearest Ellis Bates Financial Adviser

Find Your Local Adviser

Financial Advice for Business Owners Video

 1024 571 Jess Easby
By:

As a busy employer, you need fast access to expert financial advice and financial services to help you both build and protect your business at the same time. You want to make the most of every financial opportunity whilst ensuring your assets are future-proofed.

Pension Reviews

Regular pension reviews are imperative, as fees, benefits and enhancements can change markedly over time and as Independent Pension Advisors, we search the whole marketplace to ensure you and your employees maximise pension investments.

If you’d like to discuss how Financial Advice could benefit your business, please get in touch

Find Your Local Adviser

 

Group Pension Schemes

 1024 680 Jess Easby
By:

Arguably one of the most important benefits you will provide your employees is a workplace pension so it is crucial you have the right pension scheme in place for them. The choices you make will have a significant impact on their long term financial well being and we are here to guide you through the entire process.

Ellis Bates have over 4 decades of experience in successfully delivering defined contribution workplace pensions, offering you the employer a wide range of choice and flexibility, whether its setting up a new scheme or reviewing and replacing your existing scheme.

Why it is important to review your current workplace pension

Regular reviews are imperative, as fees, benefits and enhancements can change markedly over time and as independent pension advisers we can search the whole marketplace to ensure you and your employees maximise pension investments.

Limited access to information, coupled with a lack of transparency from some pension providers often makes it difficult for employers to make a well informed decision about the most appropriate type of pension scheme to offer their employees, which can impact an individual’s savings and retirement.

Master Trust Schemes

A master trust scheme, also known simply as a master trust, is a type of pension scheme that provides retirement benefits to employees or members of multiple, unrelated employers. It is a form of occupational pension scheme that allows multiple employers to pool their pension assets and administration resources within a single trust structure. This structure can offer certain advantages, such as cost savings, improved governance, and potentially more efficient investment management.

Examples of master trusts are auto enrolment schemes such as NEST and People’s Pension, which historically offered a quick, off-the-shelf option to ensure companies could comply to the Government’s auto enrolment requirements when introduced in 2012.

These standard schemes not only belong to a master trust but are also referred to as ‘fixed’ schemes as they ‘fix’ an employees retirement age and then typically adopt a ‘Lifestyling’ investment strategy as their default.

With Life-styling, as employees approach their retirement age, pension savings are gradually and automatically moved from ‘higher risk’ assets such as global and UK equities into ‘lower risk’ asset classes such as fixed interest and cash.

Legislation changes
Pensions Freedoms 2015

The Government then introduced the Pensions Freedoms in 2015, to allow much greater flexibility in both managing and accessing defined contribution pension pots. Initially, these freedoms came into force for pension savers from the age of 55, but from April 2028, this will rise to 57. The legislation brought in much greater flexibility and choice for individuals and employers, particularly with regards to accumulation and decumulation.

Accumulation and decumulation are terms often used in the context of retirement savings and pension plans. They refer to the stages of building up retirement savings (accumulation) and then using those savings to generate retirement income (decumulation). Flexibility in these stages was seen as important to cater to individuals’ varying financial needs and preferences.

Flexibilities in Accumulation

Contribution Levels: individuals should have the flexibility to contribute varying amounts to their retirement savings based on their financial situation, goals, and age. Some pension plans allow members to adjust their contribution levels periodically.

Investment Options: providing a range of investment options allows savers to tailor their portfolios to their risk tolerance and investment preferences. Flexibility in investment choices can help them align their portfolio with their retirement goals.

Find Your Local Adviser

5 Financial Planning Conversations for you and your Family

 1024 535 Jess Easby
By:

Discussing finances can evoke anxiety or discomfort, and this tension doesn’t ease when family members are involved..

How can you make financial planning conversations go smoothly?

  • Your Estate

Discussing who will inherit will help you avoid future disagreements, ensure your Will is up to date and minimise inheritance tax liabilities

  • Succession Planning

Building a succession plan that suits your needs ensures you have laid the firm foundations for your family’s future

  • Lifetime Gifting

It’s possible to gift tax-efficiently during your lifetime using various allowances and exemptions

  • When I’m gone Information

Discuss where you’ll safely leave basic details of your bank accounts, savings, investments, and utility providers

  • Power of Attorney

You can put in place a power of attorney, a legal document enabling you to name one or more people to look after your affairs if you lose capacity

If you would like to discuss your family’s financial future and how we can help, please get in contact

Find Your Local Adviser

After Retirement – helping your loved ones

 1024 579 Jess Easby
By:

Your financial adviser will have helped you plan a secure retirement lifestyle and naturally your thoughts will now be turning to how you can help your family now and in the future. Your adviser will guide you through key stages including 

  • Estate planning 
  • Legislation changes and their impact 
  • Tax implications 
  • Gifting 
  • The role of Wills, Trusts and Lasting Powers of Attorneys 

Your adviser’s role is to ensure you enjoy your retirement and bring expertise into successfully passing on your wealth in the right stages. 

If you would like to discuss your and your family’s financial future, please get in touch.

Find Your Local Adviser

I wish I’d known that… Why it’s important to have financial advice

 1024 575 Jess Easby
By:

Many times our advisers hear ‘I wish I had known that’, and it reinforces the real difference having a financial adviser onboard can make to both building your financial plan and making sure you stay on track through your lifetime.

If you’d like to discuss your financial future, and how a financial adviser can support you, please get in touch with our expert team:

Find Your Local Adviser

A Labour Government with a large majority – what are the implications for your financial planning?

 1024 535 Jess Easby
By:

With the votes cast and Kier Starmer and his Labour party securing a landslide majority, the financial markets are anticipating a period of growth and stability. 

With a tumultuous three Prime Ministers and five Chancellors since 2019, hopefully the large Labour majority and their stated focus on growth and cautious fiscal policies will bring about much needed financial security and organisational collaboration so important to the markets and investors. 

Stating she ‘means business’, the UK’s first female Chancellor Rachel Reeves spoke of the overhaul of finances saying “These are the first steps that we will take to bring that growth back to the economy and I’m determined to work, as are all of my colleagues, to do that, to unlock the private sector investment we need to grow our economy.” 

As with any political and economic changes, there are prudent steps and approaches all investors should make. Please download our guide to why keeping focused on long term financials goals is key.

Download your guide here:

Find Your Local Adviser