With Covid-19 restrictions lifting and life starting to resemble something of its former self, we turn our attention to checks and balances, whether they be literal or not, in order to move forward we must start somewhere. And if that means to 'boost the economy' by supporting local businesses so much the better! Hands Space Face – you know the drill!
1. HANDS up for Pension contributions
Some people have lost their income or have seen the level of their earnings plummet, due to Covid-19. If this has happened to you, then you may understandably have had to reduce or even stop contributing to your pension plan. If however on the other hand, your income has kept up, or you have since found or resumed your employment, do not miss the opportunity to continue or increase your contributions – your future self will thank you for it! Also, check your entitlement to the state pension and get a forecast, for any workplace or private schemes. Ask for your projections and valuations and work with your Independent Financial Adviser to maintain your position and ensure you are on track for the future.
2. SPACE your Savings and Investments
As a new tax year has started, now is a great time to take stock of your financial situation and mange your savings plans. If you haven't already and are able to, start a savings plan, put aside as much as you can afford each month. Even irregular, ad-hoc savings will make all the difference to your future financial well-being. For example, a good start might be an ISA which is designed to allow for tax free growth and presents a tax-efficient way to save (and an alternative to low interest paying bank account). Ask your Independent Financial Adviser for details on which type of ISA would be most suitable given your unique personal circumstances.
3. FACE your Financial issues
Reviewing your pensions, savings and investments present an opportunity to reassess your overall financial position and get clarity on what it is you are trying to achieve. Could readjusting your holdings put you in a more favourable position? Would a bigger contribution put you in a better position few years down the line? Is it time to review all your assets and work with your adviser to formulate a credible financial plan or to make sure that no unexpected Inheritance Tax surprises crop up in the immediate future? How much money do you really need to maintain your lifestyle when you retire? Can you even afford to retire? Questions aplenty – answers on the post card?! NO, but your Independent Financial Adviser will make sure that you are on the right path when it comes to your finances.
We spent the past year or so fearing the unknown and focusing on our physical health as well our sanity and now we have survived all this, it is time to look to our financial future and our future selves and ensure that we are in the best shape of our lives, not just in body and spirit but in bank balance also!
Silvia Johnson Bsc(Hons), DipPFS, EFA, CertCII (MP) is a Director and Independent Financial Adviser at Royale Thames Wealth and provides independent financial advice to individuals and businesses.
07908 109 741 / 020 8720 7249
Royale Thames Wealth Ltd is an Appointed Representative of New Leaf Distribution Ltd which is authorised and regulated by Financial Conduct Authority number 460421.The value of your investment may go up as well as down and the value is not guaranteed. Past performance is not a guarantee of future performance.Wills and Estate Planning are not regulated by the FCA