What about Today?

As a Specialist Financial Planning Consultant, within our Healthcare team, I am often asked; when can I retire and should I consider leaving the NHS Pension Scheme due to Annual and Lifetime Allowance tax charges?

Whilst these are important areas for them to consider, and yes, we have the expertise and knowledge to put them in an informed position, they have financial worries just like everyone else.  I see my role as an educator, aimed at getting my clients to understand that whilst these pension worries are important, their wider financial position needs to be considered.

So what about today?  Let’s confront those difficult questions that you have put to the back of your mind.

If one of you died, would your partner be able to cope with the mortgage and other household expenses?  For how long?  What about if one of you became sick and the other became a carer, how would this impact on your finances?  How are you going to fund your children’s education?  How would you feel if you were not able to financially support them through this? Questions that are often asked and often not thought about.

I ask about wills – neither of us has one.  You’re not alone in this, research shows that only around a third of people in Britain have a will in place and more than 18 million have never even considered writing one.

A common misconception is that I’d assumed that because we’re married it’s automatically taken care of, but that’s not the case. Joint accounts and shared assets can be frozen if there is no will in place, in case anyone makes a claim on your estate. It could add unnecessary stress, delay and financial difficulties in what is already an awful situation.

It’s all worst-case scenario stuff to which the optimist wants to respond, “it’ll never happen to me”. But my clients know that this naïve, because many of them know someone to whom it already has.

These are issues that my clients haven’t thought about, but typically issues that will determine decisions made about their pensions, which types of insurance they need and how much they should set aside for a rainy day.  These are just as important as saving tax both now and at retirement, but what about today? Lets talk about protecting today to ensure that your future is protected also.

If you would like to discuss this in more detail please call us on 01772 821 021.