Pensions

27 August 2024

Is it worth setting up my own pension?

With prices of just about everything still going up it might be hard to think about putting money away for the future but, according to the latest government figures, the number of personal pension savers in the UK keeps rising. As of 2023, government statistics show there are now 6.8 million of us using pensions to help build a retirement nest egg...

27 August 2024

Can property really be your pension?

If you’re thinking about using property to fund your retirement, you wouldn’t be the first. The post-financial crisis boom in house prices, propelled by low interest rates and government support schemes, led many budding property tycoons towards investing in buy to let instead of saving in a pension. For many, that gamble probably paid off, thanks...

16 August 2024

Seven ways to beat the death tax

The death tax is dubbed Britain’s most hated tax, but only around 1 in 20 estates pay it. Those numbers are rising, along with the amount of money HMRC is raking in each year.

If you’re concerned that your estate might have to pay inheritance tax (IHT) when you’re gone, there are things you can do to reduce (or even eliminate) the amount it will...

9 August 2024

Why people have been taxed £1.3bn too much on their pensions

New figures show that people have been taxed £57m too much on withdrawals from their pensions in the past three months, as the total amount of over-taxation hits almost £1.3bn.

Data from HMRC shows that in April, May and June over 16,000 reclaim forms were processed during the quarter from people who had been hit with higher tax bills than...

3 August 2024

What to do with your pension in your 40s

When it comes to saving for retirement many of us bury our heads in the sand. It’s easy to leave it so long that you fall into the trap of feeling it is too late to start. However, this is not the case and there are lots of things that savers in their 40s should be thinking about as they build their retirement pot.

It’s never too late to start

Alth...

3 August 2024

What to do with your pension in your 50s

As you enter your sixth decade you will be getting closer to retirement, meaning you will be planning for it and thinking about when and how to take a retirement income. Here are the main things you need to think about with pensions in your 50s.

Accessing your pension

If you’re aged 55 or over then you have the option to access your defined...

31 July 2024

What to expect in October’s Budget following the Chancellor’s public finance update

The Chancellor has signaled to the public that tax rises are extremely likely at the Budget on 30 October, pointing to what she claims is a £20 billion black hold in the public finances.

During the election campaign Rachel Reeves and Keir Starmer, now Chancellor and Prime Minister respectively, were at pains to insist they wouldn’t raise income tax...

17 June 2024

How our personal finances have changed under a Tory Government

The Conservatives came to power in 2010, and during that time there have been a raft of changes to our personal finances. There have been some bold and positive achievements in the past 14 years, though it is by no means an entirely rosy picture, and to the extent that welfare spending falls under the heading of personal finance, the austerity...

12 June 2024

How to build your first pension or expand an existing one

Creating a plan for your retirement savings now could put you in a better position later in life. You will thank yourself for getting your finances in order – it should not take long and could bring peace of mind knowing that you have a pension strategy in place.

The first step is to find out if you have existing pension assets. Certain people...

20 May 2024

How to combine your pensions into one pot

Since automatic enrolment was introduced in 2012, meaning more people were contributing to a pension with their employer, lots more people will now have small pension pots with different companies. Pension savers throughout the UK have been forced to wait for a solution that means they can access all their pensions in one place – which would help...

6 April 2023

What do the new pension rules mean for me? Untitled Document

A new tax year brings a fresh set of allowances, but at his recent Budget, the Chancellor also increased what was on offer for pension savers in this new tax year, too.

You can read about the changes and how they impact your own finances below.

What has changed? Annual pension allowances

The changes that will affect most people...

13 March 2023

How much can I pay into my SIPP?

It should be an easy question for investors to answer. But because of pension rules, working out how much you can pay into your SIPP takes a bit of homework.

In this article, I’ll explain how these pension rules work, and what to think about when calculating how much you can pay in.

This article gives you information and tips, but isn’t tax...

2 March 2023

Three top tax tips for SIPPs Untitled Document

SIPPs can be a great way to boost your retirement savings. Not only do investments in a SIPP grow free of tax, but tax relief from the government generously top ups the money you pay in.

As SIPP tax relief is so valuable, I’ve drawn up three top tips to make the most of it. That includes how to shield yourself from a potential...

4 January 2023

Change to capital gains tax rules – what you need to know

Over the next two years, the tax-free allowance for capital gains is being slashed by over 75%. In this article I discuss the rules on capital gains tax and five ways you can reduce your potential tax bill.

Whilst this article contains information and tips – it is not tax advice or a personal recommendation. If you need help with tax or your...

26 October 2022

Rishi Sunak’s in-tray: 5 taxing questions for the new prime minister

As the new prime minister Rishi Sunak enters No. 10, he faces difficult decisions over a range of tax, pensions and economic issues which remain unanswered after months of debate and discussion through the leadership contest and the fallout from last month’s mini-Budget.

AJ Bell experts consider 5 key questions awaiting the new prime minister:

Inc...

7 October 2022

FCA warns over 'misdirection' scams risk as a quarter of savers eye early pension access during cost of living crisis

As inflation tightens its grip on Brits’ finances and millions of households face up to the prospect of spiralling mortgage bills as interest rates rocket, it is inevitable scammers will increase their activity as they look to prey on rising vulnerability.

Recently published data shows the number of savers accessing their retirement pots for the...

11 August 2022

4 in 10 retirees alter pension withdrawals as inflation surges and recession looms

Four-in-ten retirees drawing an income from their private pension are changing the amount of money they take from their pot in response to the double whammy of struggling markets and the rising cost of living.

The data comes from a survey carried out by investment platform AJ Bell Youinvest with over 1,000 of its customers that draw an income from...

14 July 2022

Cost of living payments start with pensioners urged to check their eligibility for more support

More than 8 million households will get the first of the latest tranche of cost of living support from 14 July, with £326 hitting people’s bank accounts between the 14 and 30 July. Low income households who are on certain benefits will be eligible for the payments, although they need to have been entitled to them before 25 May this year.

While the...

22 June 2022

New report sheds light on the impact of state pension age increases

For those on very low incomes, increasing the state pension age by just a year can be enough to push people serious financial turmoil new research has revealed*.

And while there are ways to replace at least part of this lost income – either via in-work benefits, from your private pension pot or by working longer – the evidence suggests lots of...

14 April 2022

State pension increases by 3.1% …but soaring inflation means retirees will still feel the pinch

When is a pay rise not really a pay rise? When the cost of the things you buy are increasing by more than the extra cash you’re receiving.

Sadly, that is exactly the position millions of retirees find themselves in as the state pension rises by 3.1% - exactly half the 6.2% CPI inflation figure recorded in February this year.

The reason is that...

23 March 2022

Chancellor does little to ease cost of living crisis

The big rabbit out of Rishi Sunak’s hat was announcing a cut to income tax rates from 2024, and while that will grab the headlines it’s precisely zero help to families struggling with the cost-of-living crisis now – or indeed for the next two years.

The announcement today, which clearly could have waited until the full Budget later this year...

21 March 2022

Tax year end retirement tips and traps savers need to know

“The end of the tax year is a natural time for people to check they are making use of their annual tax allowances before they expire on 5 April and they shouldn’t forget their pension when doing this,” says Tom Selby, Head of Retirement Policy at AJ Bell.

With the cost of living on the rise, saving for the long-term might feel like a luxury people...