August 2010 - Page 2 of 2 - Financial Planning in Wimbledon

Talking Money

I’m delighted to announce that the July/August 2010 issue of Talking Money is now available via our website. This is something that we promised to work on and have now been able to deliver.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

Talking MoneyDominic2023-12-01T15:32:21+00:00

Guide for Making a Will

We have added our Guide to making a Will in the resources section of the website. Hopefully you will find this of use. Please feel free to share it with others.

The importance of a Will is nothing to be trifled with. I may be behind the news on this one, but today learned about the problems that Stieg Larsson’s death caused for his family and partner. You may know him as the Swedish author that has enjoyed success with his crime/thriller fiction, notably the Millennium Trilogy which were published after his sudden death in 2004. I understand that the Trilogy has sold over 27 million copies in 40 countries!

Unfortunately this posthumous success has resulted in a difficult situation for his surviving family. A Will from 1977 was found that was unsigned and therefore not valid under Swedish law. This Will left his estate to a branch of the Communist Workers League. It was found by his long-term partner Eva Gabrielsson who has no legal rights to any inheritance as they were not married (Swedish law) as it all passes to his father and brother.

As you might imagine, there are considerable sums involved and the dispute continues. This merely adds to the the body of evidence and experience that screams: “Sort your Will out!…. before its too late”.

It is estimated that only 1 in 7 UK adults has a Will.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

Guide for Making a WillDominic2023-12-01T15:32:22+00:00

One Step At A Time

Sometimes setting big goals such as when you want to retire and how much income you want at that point can seem like very large goals. Its worth remembering that good financial planning is a journey, a series of steps taken that lead to your ultimate goal.

I reflect on this having spent an enjoyable evening with good friends who are both teachers. They have spent the last couple of weeks walking Shakespeare’s Way, from Stratford upon Avon to the Globe in London, staying with friends along the route. Its about 150 miles and today they complete the last section of their journey having left us this morning. They have been accompanied by their two children, who are only 9 and 13 and are a great credit to them.

The key to their success – well, perhaps its a bit obvious – but basically knowing where they are heading, having a map and breaking the task up into small milestones. The same principles for good financial planning.

Well done Bill & Rachel (and Harry & Rosalind)

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

One Step At A TimeDominic2023-12-01T15:32:22+00:00

Seize the Day

Today I learned that a friend died. The news comes as a shock – I had spoken with him on Friday as he prepared for the start of his holiday. Even though my job involves talking about the possibility of death or some form of long term or serious illness, its still unsettling when these events occur. Death is hardly a topic that people are keen to discuss, something that IFAs appreciate very well. However we live with the certain knowledge of death and I am reminded, (again) to be thankful for each day.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

Seize the DayDominic2023-12-01T15:32:23+00:00

Critical Illness Cover

Skandia have decided to cease offering new Critical Illness policies. This is a real pity as it has been one of the market leading protection policies for many years. They will continue to permit existing policyholders to top up their cover, but not take out any new policies. Skandia were one of the very best in this field, but seem to have taken a commercial decision to focus on investments (including pensions). I can see from their perspective that this makes sense, but have to admit that it is not good news for consumer choice.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

Critical Illness CoverDominic2023-12-01T15:32:23+00:00

NEST: National Employment Savings Trust

NEST is basically an automatic opt-in pension that has to be provided by employers unless they have a better option. The idea being simply that people are not saving enough for their retirement and having an opt-in approach simply doesn’t work.

The new scheme is expected to be launched next year, but there are likely to be further changes along the way and not everyone will be effected initially. This is aimed at the low paid with little or no pension provision. The contibutions are capped at £3600 a year (this amount may rise) but at present the plan is not to allow funds to be transferred in or out of NEST except in very limited circumstances. This is presumably due to the complexity of advice and costs involved.

A key part of this is the calculation of “qualifying earnings”. This is currently set at £5,035-£33,540 and includes overtime, bonuses, maternity/paternity leave, commissions and pretty much anything else you can think of relating to an employer paying an employee.

The plan is to start contributions (compulsory) at a low level. Employees will tend to start at 2% with employers paying 1% of qualifying earnings. This is expected to last until someting like 2016-2017 when contributions will increase to 5% for employees and 2% for employers. It is hoped that by 2017 this will rise to 8% from employees and 3% from employers.

Have a look at this pdf document for more basic facts. However, please be warned that much of the anticipated “rules” may alter. It is my understanding that the Coalition Government will press ahead with NEST, but some of the detail and timing could well alter depending on the state of the UK economy.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

NEST: National Employment Savings TrustDominic2023-12-01T15:32:24+00:00

Northern Rock: Black & White Issue

Northern Rock are making progress towards repaying the Government. The bank was split into two “Good Bank” (Northern Rock Plc) “Bad Bank” (Northern Rock Asset Management)…a little be simplistic but basically that’s what has happened. The “bad bank” is the one that is heavily in debt to the Government at last count, something in the region of £22.5bn. This is expected to be merged with Bradford & Bingley in an attempt to keep bad apples together.

The “good bank” today announced a half year loss of £140m to 30 June 2010. This is in-line with expectations (yes, you may ask who?). The “bad bank” ironically announed pre-tax profits of a nearly £350m which is a considerable improvement and paid £300m to the Government reducing its debt to £22.5bn. So at the current rate of repayment, that’s about 75 years at £300m a year assuming no inflation or interest.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

Northern Rock: Black & White IssueDominic2023-12-01T15:32:24+00:00

Pension Portfolio Risk Questionnaires

Clients have been sent a pension risk questionnaire, please let me know if you do not recieve your copy. These enable us to check that the holdings within your pension suit your attitude towards investment risk and the time left until you expect to draw an income from the pension.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

Pension Portfolio Risk QuestionnairesDominic2023-12-01T15:32:25+00:00

Tax Credits

Whilst this is not a matter for the pressing

Tax CreditsDominic2023-12-01T15:32:26+00:00

Equitable Life

The day is finally dawning when the entire Equitable Life debacle may finally come to a satisfactory conclusion. The Treasury has published an update on the current situation and now hope/expect to begin making redress payments in 2011. There are something like 1.5m Equitable Life policyholders that may benefit from this outcome. To quote directly from the HM Treasury website:

The Coalition Government confirmed its commitment to “making fair and transparent payment to Equitable Life policyholders, through an independently designed payment scheme, for their relative loss as a result of regulatory failure“. In the two months since coming to power the Coalition Government has taken important steps towards implementing that commitment.

The Equitable Life (Payments) Bill
The Government has taken another important step forward in the establishment of an Equitable Life payment scheme by introducing a Bill into the House of Commons. The Bill, which was announced in the Queen’s speech on 25 May, enables payments to be made to Equitable Life policyholders in the future. The Equitable Life (Payments) Bill was introduced on 22 July 2010. More information can be found on the parliament website.

Independent advice from Sir John Chadwick
The Government has published independent advice from Sir John Chadwick on the financial losses sustained as a result of Government maladministration in the regulation of Equitable Life. Alongside the report, the Government has published the first robust figures surrounding the caluculation of relative losses suffered by policyholders, based on detailed analysis of Equitable Life’s database. These estimates were provided to the Treasury by Towers Watson.

Independent Commission on Equitable Life Payments
Furthermore, the Government announced the appointment of Brian Pomerory, John Howard and John Tattersall to the Independent Commission on Equitable Life Payments. The commission, which was announced on 26 May, will advise the Government on the allocation of payments and the design of the scheme. The commission will begin work imminently with a view to reporting in early 2011.

There is the warning though, which is of course the caveat for pretty much everything at the moment.

“…any scheme will need to take the potential impact on the public purse into account. The Government will need to consider what is affordable as part of the Spending review”.

We are a boutique firm of financial planners. We create financial plans designed to achieve a desired lifestyle. We will craft and implement your plan that will provide you with the greatest chance of accomplishing your unique goals based upon the values that you hold. Financial products are little more than the tools to achieve your required results
Call us today or visit our website for more information and to arrange a meeting

Equitable LifeDominic2023-12-01T15:32:26+00:00