Smart Money March/April – Maximising the end of the UK tax year 2024/25

Welcome to our March/April edition of Smart Money. Here’s a brief summary of what’s included in this edition:

On page 03, we explore why wealth transfer planning involves much more than just arranging for Inheritance Tax. This process requires your employees to ask essential questions about their legacy, their beneficiaries, and their long-term financial goals.

On page 04, we consider the financial implications of divorce for couples over 50. Ending a marriage later in life can be a complex and emotionally challenging process, especially for those in this age group. Wealth, primarily derived from property, often takes centre stage in these discussions, as it usually represents the most significant financial asset that couples own.

On page 06, we examine how Self-Invested Personal Pensions (SIPPs) could help your employees maximise their retirement investments. When planning for retirement, utilising a pension is one of the most effective ways to help your employees secure their financial future.

On page 09, we look at how your employees could approach financial discussions with their older family members. Discussing finances is not always easy but these conversations could be essential for alleviating stress and to help ensure everyone’s long-term wellbeing. Whether it involves managing unexpected expenses, such as medical bills, or addressing insufficient savings, financial challenges can weigh heavily on ageing relatives.

If relevant, please feel free to share with your employees.

Secondsight is a trading name of Foster Denovo Limited, which is authorised and regulated by the Financial Conduct Authority.

A pension is a long-term investment not normally accessible until age 55 (57 from April 2028 unless the plan has a protected pension age).

The value of your investments (and any income from them) can go down as well as up, which would have an impact on the level of pension benefits available.

Your pension income could also be affected by the interest rates at the time you take your benefits.

The Financial Conduct Authority doesn’t regulate trust planning and most forms of inheritance tax (IHT) planning.

The financial conduct authority does not regulate tax and trust advice and will writing.

Some IHT planning solutions put your money at risk, and you may get back less than you invested. IHT thresholds depend on individual circumstances and the law. tax and IHT rules may change in the future.

The tax treatment is dependent on individual circumstances and may be subject to change in future.