Your financial plan will provide a projection of your income at your desired retirement age, based on your existing arrangements and projected State Pension.
This will highlight any shortfalls that you may have along with considerations on how these can be addressed. This could include increasing contributions within your agreed budget, taking advantage of employer incentives, switching contributions to a more tax efficient vehicle or switching out of a poorly performing fund.
Personal Pensions are a tax incentivised savings vehicle, designed for retirement. Tax relief on any contributions can give them an advantage over ISA’s, however the lack of accessibility is an issue for some of our clients.
ISA’s are a tax incentivised savings vehicle free from income and Capital Gains Tax. Unlike pensions they do not attract tax relief on contributions, but the fact that they are accessible prior to retirement is seen as a plus for some clients.
It is important to have your savings working as hard as possible for you, it is therefore imperative that you review not only the contract but also the investment fund(s) utilised within your contracts.
At Howard Wright we provide a range of risk focused actively managed investment portfolios, these are designed to assist our clients in achieving their investment objectives by constantly reviewing the underlying investment performance.
The value of investments and the income derived from them can fall as well as rise. You may not get back what you invest.