Blog
Check out our latest thoughts and insights on a variety of financial topics
Hannah Stanley wins Young Achiever of the Year Award
We’re thrilled to announce that Hannah Stanley, a dedicated and passionate member of our team, has recently been honoured with the Chartered Insurance Institute’s Young Achiever of the Year Award.
Every man for himself? Or are we finally challenging the patchwork effect of rising inflation?
Recently, we wrote about the rising rate of inflation, and how we saw 2021 coming to a close with inflation sitting at its highest level in almost 30 years, at 5.4%. What was not so clear, though, is just how much the effect of rising inflation in real terms is having, and will continue to have, on your individual financial circumstances.
The ‘2021 Inflation Components’ otherwise known as the Office for National Statistics (ONS) “basket of goods,” are included within the overall inflation calculation.
How is the rising inflation rate going to affect your financial planning?
From an all-time low of just 0.1% in March 2020, to its highest figure in decades, it is fair to say that the security blanket around the inflation rate has been well and truly pulled from under us.
Our team at Simpson Financial Services often finds that changes such as the rate of inflation and cost of living are not fully understood. Nor is the impact that increasing inflation can have on long-term savings and overall financial planning.
Personal Tax Planning: Are you making the most of your tax allowances?
It’s hard to believe that we are a month on from Christmas and New Year already. Other than when the next Bank Holiday and this year’s Jubilee celebrations are, where else are your thoughts drifting this year? Well, sorry, but you are going to have to come back from dreaming about your long hot summer holiday for now, because the tax year-end is almost upon us. And whilst it might not be top of your favourite things to do, if you are not already forging ahead, personal tax planning and efficient financial calculations now could be more beneficial than you may think.
Positive signs of a global dividend recovery to wrap up 2021
We certainly choose our moments to bring some slightly more upbeat financial updates! Yes, we are coming to the end of another year in which we have continued to see the ongoing financial impact of the COVID-19 pandemic, furloughed staff, panic hitting the petrol forecourts, and fear of potential food shortages during the festive season for various reasons. But research from Q3 2021 shows that dividend payments are headed in the right direction once again in all major markets. Indeed, there is evidence of a global dividend recovery, with dividends expected to reach pre-pandemic levels before the clock strikes midnight on New Year’s Eve.
Autumn Budget and Spending Review, 2021
Still taking on board some of the announcements coming out of the Autumn Budget and Spending Review? Are you wondering what the updates will mean to you and your family for the coming months and years?
Well, with this first Autumn Budget in three years, there is certainly some positive news. And although not completely post-pandemic, there were hints that the dramatic economic impact felt during the past 18 months might be, in some way, eased.
Will we ever bridge the gender pension gap?
Since our recent post about saving for retirement and pension planning, the office for National Statistics (ONS) has released further information highlighting how the retirement income gap has been dramatically impacted through COVID. Although it may be decreasing slowly, as long as the gender pay gap continues to live on, so too the gender pension gap will also continue.
All you need to know about a Lifetime Mortgage
Are you heading for your older years, but want to free up some equity to enjoy life while you are still fit and healthy? Or even an ‘elderpreneur’ (indeed, that word does exist!) who wants to start your own business, and would be grateful for some funds to set you up? If you do not want to break into your savings or alter your pension plans, you might have considered a lifetime mortgage.
We last spoke about mortgages, more specifically remortgaging, back in February. But we know an awful lot could have changed in your lives since then. With energy bills rising, a growing shortage of fuel and supplies, and more impact from the pandemic gradually coming to the fore, we certainly have plenty to think about day to day.
The post pandemic cost of retirement
Further to our ‘Saving for Retirement’ post in July, we now have a more definitive and updated post pandemic cost of retirement to share with you.
With additional (dare we say, more realistic and modern) goods in your basket, the latest update from the Pension and Lifetime Savings Association (PLSA) includes everything from hand sanitisers to a higher personal grooming allowance, an increased socialising and eating out budget, right down to the pandemic favourite for binge watching across all age ranges – your monthly Netflix subscription!
I am sure you could think of other ways to spend your retirement, but at least you will be able to keep occupied in the deepest and darkest of winter evenings, knowing you are still comfortably within your retirement budget.
Pension Lifetime Allowance due to fall
There is some apprehension in the air around cuts to the Pension Lifetime Allowance following the Budget earlier this year. In a bid to recoup some of the Government’s 2020/2021 losses, following the Budget deficit, it could mean you will end up paying more tax in your retirement, or even sooner than that.
£300 billion in losses are going to be slowly but surely clawed back through one means or another. This could mean changes to Pension Tax relief or Pension Lifetime Allowance (LTA). And although they may not be announced until the November Budget, we want you to be ahead of the game, with plans in place to avoid any nasty financial shocks.
Saving for retirement – the clock may be ticking
Are you heading for retirement? Have you gone through a divorce, separation, or a bereavement and you need to think about financial plans for later life? Do you have elderly relatives who are worried they might not have sufficient income to see them through retirement? It is almost a year since our last retirement blog, and along with potential personal economic impact following the pandemic, some interesting research findings around pension planning theory have been released, so we thought this might ease your concerns. To put it very simply, whenever you start saving for retirement it is never too late!
You might think you need to start planning and making pension contributions as soon as you start work, and it could be too late for you if you have eaten into your savings, without considerations for a pension pot. Indeed, that was what we were taught by the older generations. And we always did what we were told, didn’t we?!
Tax Rules for Living Abroad – How BREXIT could impact your future plans
As if 2021 wasn’t life changing enough with the pandemic, there was also the small matter of BREXIT thrown into the mix. For some, there will be an insignificant impact. Certain items may take longer to appear on the supermarket shelves or could disappear altogether. But we’ll soon find alternatives. Some employees may have been impacted to a greater degree, as with some business owners. For others, it could create a challenge, or an opportunity, to reconsider life in the UK and whether that is what they want for their future. Here, I’m talking about tax rules for living abroad, how they have changed, what it means for residency, and how we can assist in your financial planning if living abroad is something you are considering.
How to find the right financial adviser
There has never been a more important time to be on top of your finances than now. The uncertainty of the past 12 months or so has given the entire world a shake up, and we all know that a testing time lies ahead whilst we recover from the COVID fall out in one way or another. So, perhaps now is also the time for you to start considering seeking guidance around your own finances, to ensure you and your family are secure, and you can survive financially if, God forbid, anything similar were to happen again. Here, I am going to talk through how to find the right financial adviser, and why it is important to find a service which suits your individual circumstances, what to look for and what to expect from a reputable financial adviser, and why Simpson Financial Services could fit the bill and guide your financial planning securely into the future.
