financial planning

What to know about ISA’s in 2019/20

The rules around ISAs (or individual savings accounts) change relatively often and different types of ISA rise and fall in popularity depending on where savers consider the most competitive place to put their hard earned money. ISAs are a great way to save because of their tax efficiency. You don’t pay income tax or capital gains tax on the returns and you can withdraw the amount any time as a tax free lump sum. Because of their tax efficiency, there are set limits on how much you can save using ISA accounts. The 2019-20 tax year is an interesting year Read More

Is it time to cut out the jargon from pensions ?

People simply aren’t saving enough into their pension funds. Despite the relative success of the auto-enrolment rollout and the increase of minimum contributions from 5% to 8%, there’s still a culture of misunderstanding surrounding pensions. With a reported 51% of the public believing that the minimum contributions are in line with the recommended rate of saving, this is unfortunately not the case. With experts generally recommending a figure closer to 13%, something needs to change for people to have a real understanding of their pensions. IFA firm Portafina conducted research in February 2019 on a sample of over 2,000 people Read More

Alleviating your Inheritance Tax bill shouldn’t be a worry

Inheritance tax (IHT) can be an incredibly punitive tax on your estate. However, by making the right choices, you can vastly reduce the amount of your estate liable for IHT. While other tax free allowances, such as the ISA allowance, have risen in recent years, the IHT threshold has remained stagnant. Since April 2009, the individual allowance has remained at £325,000. Anything above this is taxed at 40%. Research from Hargreaves Lansdown suggests that had the threshold kept pace with inflation since 2009, it would now stand at £436,566. Here are some ways you can mitigate the amount of your Read More