A recent survey exploring attitudes to retirement in the UK found that the average age of retirement has now dipped down to 59 years. This leaves retirees plenty of time to travel, enjoy their garden or make the most of time with their family. The survey also found that people were worried about the increasing cost of living, and whether they would have enough money from their pension to enjoy their well-earned leisure time.
Harper Wealth Management retirement planning addresses financial concerns by looking at not only the income from pensions, but also from a wider range of potential sources of income. In this blog we consider 5 of these sources.
1. Investment Income
For the 2025/26 tax year, there’s a £500 tax-free Dividend Allowance. Although modest, incorporating this allowance into your financial plan ensures you are optimising your income and taking advantage of every tax efficiency available, contributing valuable pounds towards your retirement income stream.
2. Retirement House Move
By the time you get to retirement age it’s likely that your children have left home. This may leave you with a large house which is no longer serving your needs. Moving to a smaller property would generate extra capital that can be added to your retirement fund.
3. Working Through Retirement
Of course, the idea is that you give up work when you retire, but not everyone does. Many people relish the opportunity to work in a less stressful role, either as a volunteer, or as a paid employee. If the latter is the case, you’ll have an ongoing supplement to your retirement income.
4. Mortgage for Life
We always recommend that expert advice is sought before equity is released from your home, but it can be a useful insurance policy. If you find that your retirement resources are dwindling, you can raise capital on you property to fund the lifestyle you wish to maintain.
5. Changing Attitudes Towards Savings
At one time any suggestion of dipping into your capital was taboo. Times change, however. Current interest rates generate little or no income from savings, and we’ve just gone through a period during which our spending has been curtailed. If you’ve increased your savings, you might want to think about how you can invest or spend the excess in ways that will benefit your retirement.
Planning for Your Retirement With Harpur Wealth Management
Retirement planning is all about creating peace of mind that you have enough money to enjoy your retirement period in the way you wish. Harpur Wealth Management offers financial planning advice which guides you through this process with three specific goals:
- Ensuring you have sufficient retirement income.
- Considering all your income generation options.
- Passing on your wealth to your family.
Whatever your plans are for your retirement, your personal wealth manager will help you to achieve them. Our retirement planning process includes alerts as new financial products emerge, and updates regarding tax legislation that could benefit your retirement income.
Would you like to speak to a wealth management advisor about retirement planning? Book a free consultation by calling us on 01234 924620 or contacting us online.
Disclaimer
This article is for information only and must not be considered as financial advice. We always recommend that you seek independent financial advice before making any financial decisions.
The value of your investment can go down as well as up and you may get back less than the amount invested.
‘The Financial Conduct Authority does not regulate taxation advice’
