“I first had financial advice in 1994 at a pre-retirement course and have been delighted with the continuing service ever since."
Since September 2012, I have been assigned a new financial advisor at GWM. I have always found him to be very friendly, service-minded, and very importantly, providing quick responses to my questions.
Your retirement savings nest egg will most likely be your largest asset, above and beyond the value of your home. One of the most often asked questions is, 'How much should I save for retirement?'. The answer to this question requires you to do some thinking about when you’d like to retire and how much income you would want to be able to spend each year. Most people underestimate how much they need to save to be able to provide a level of income in a sustainable way throughout retirement. The earlier we start working together, the surer you can be that we will achieve your retirement goals.
Many people can’t envisage completely stopping work with some opting to reduce their hours, take on short term contract work or change industries all together. While your GWM Adviser won’t provide you with career advice we will work with you to make sure that you’re financially prepared to make these decisions when you want to. It is financial independence and freedom we work with you to achieve. We want to ensure you can make the choices you want when the time comes.
A full retirement review by one of our planners will enable you to take some time and imagine what your perfect retirment will look like and how much you will need to fund it. The review also takes into account any existing pensions, savings and investments and produces a cashflow model illustrating exactly what needs to happen in order to achieve your retirement goals. The plan is then managed and monitored, ammending your forecasts in line with any changes in your circumstances and expectations. All UK pension advice is supported by fully qualified, UK advisors so you can be confident that you are relying on the best possible advice.
A Final Salary or Defined Benefit Plan is structured in advance, the benefits are pre-defined and rigid. While this sort of policy provides the security of a constant income it cannot be controlled to suit your changing circumstances and requirements. For many the ability to be able to reduce and increase their income can be more important than a set amount. There are many pros and cons for each scheme and, by law, any Defined Benefit advice must be performed by a suitably qualified UK advisor.
The trick to retirement planning is to start saving as soon as possible to get the most from compound interest. A fund with 40 years to grow is more beneficial than one you create the year before you retire with no time to grow. It's not what you save it's when you save and the most important investment you will make will be the first one.
The property market can be fickle, it’s hard to rely on one single asset to supplement your income. In addition, there can be tax issues and a whole host of other considerations such as maintenance and management. Your property is also illiquid; you can't sell your garage if you need cash urgently. Of course property plays an important role in healthy planning but it shouldn't be relied on as the one and only source.
It is highly likely that such a large cost to the government will be cut further as recent rumours include making state pensions means tested and reducing the annual inflationary increase. Despite having made long term contributions, state benefits should really be looked at as a bonus and not form the core fund from which you draw your income.