Case Studies

Read through the following example of how we advised a client on their particular financial situation where they wanted to retire early.

Background
- Mr & Mrs Client aged mid 50's
- Married with two children
- Small business owners
- Income £400K pa

Challenges
- Early retirement: Mr & Mrs Client recognised they had inadequate pension funds.
- Income tax: they were concerned at the present level of Income Tax they were paying.
- Inheritance tax: poorly structured existing investments were both clients to die.
- Capital Gains Tax: failure to take advantage of valuable allowances.

What We Did
- We made encashments from the existing Unit Trust portfolio of £231,000 which fully utilised their Capital Gains Tax allowances over two separate tax years.
- We reinvested the £231,000 in the client's existing pension funds.
- We set up Trust arrangements for both pension funds.

The Results
- We increased the combined value of the client's pension funds from £327,000 to £700,000.
- We reduced their Income Tax bill by £154,000.
- We reduced the client's Inheritance Tax liability of £280,000.
- We saved the clients approximately £14,000 in Capital Gains Tax.

If you would like us to help you with your own financial situation please contact us now.