High earners can feel hemmed in by continued tax raids pension savings, but by thinking outside the box they can find ample tax-efficient routes maximise their retirement savings.
The hunt for yield has become even more urgent amid continued dividend cuts and talk of negative interest rates, and all the while the spectre of several tax hikes looms.
Pension dilemmas often bring clients through wealth managers’ doors, but these invariably uncover other areas in need of investments and financial planning.
A mid-life financial MOT allows those in their 40s and 50s to spot issues in their wealth planning in good enough time to have a significant positive effect on your income and lifestyle in future decades.
Nero Patel, Wealth Planning Director at Canaccord Genuity Wealth Management, explains why High Net Worth Individuals should be wary of persuasive marketing and only transfer a final salary pension if it absolutely makes sense.
Retirement fears affect even the affluent, but it is never to early – or too late – to take proactive action on your pension planning.
Effective retirement planning is a delicate balancing act in which many “unknowns” need to be factored in, otherwise there may be a serious risk of you outliving your savings.