Retirement planning – What do you need to know?

Retirement planning is a vital financial aspect of your affairs that requires careful consideration and strategic planning throughout your life.

Whether you’re a high net worth individual or an average income earner, the goal remains the same – to secure a comfortable retirement lifestyle.

Aligning retirement goals with financial strategy

Retirement goals can greatly vary among individuals. Some may dream of a quiet life in the countryside, some may wish to travel extensively, while others might plan to start a new venture post-retirement.

The diversity of these goals necessitates an equally diverse financial strategy. We can assist in aligning your retirement goals with a suitable financial plan.

Tax Planning

Tax laws can significantly impact the effectiveness of your retirement plan. We can include tax planning within your retirement plan to ensure the most tax-efficient approach is being utilised.

This can involve strategies related to pension contributions, Individual Savings Accounts (ISAs), and Capital Gains Tax (CGT).

We have experts who can discuss this with you and can also offer you help from external tax partners where needed.

Care planning

Another aspect of retirement planning that should be considered is the possibility of needing care one day.

Care can be expensive but essential so discussing this with an expert can help you to understand what you can do to plan ahead for this possibility.

Another factor in this is considering appointing a Lasting Power of Attorney (LPA) in case you lack mental capacity in the future and are unable to make your own financial decisions.

Drafting an LPA is a hugely important decision, so it requires careful consideration with a solicitor.

Equity release

Within your retirement planning, you may also need to discuss equity release, as this is an increasingly common way for many to ensure a more comfortable retirement for themselves.

Equity release involves taking part of the money from your home while you still live there but it is risky, especially as interest rates grow.

Make sure you discuss this with an expert to consider all alternative options as well.

Legacy and estate planning

For many individuals, ensuring a lasting legacy for their loved ones is an integral part of retirement planning.

We can offer expert advice on estate planning, Wills, and trusts. This helps in efficiently passing on wealth while reducing the potential inheritance tax liability.

Keeping your Will updated and in line with your wishes is important within this planning process and something our expert solicitors can assist with.

For help and advice related to private client services, contact Gemma Hughes on gemma.hughes@mackrell.com or at 020 7240 0521.

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Gemma Hughes
Gemma is a Senior Associate and Head of the Private Client Team at Mackrell.Solicitors.  Her practice focuses on estate administration, Wills, trust administration and Court of Protection work.
Gemma Hughes

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