I'm beginning to think it's best to spend the lot and claim benefits and pension credits for the rest of my life!
@fanfeck2844
28 күн бұрын
I think it’s best to get out of the country
@mda5003
28 күн бұрын
@@fanfeck2844 I think you're right!
@jimmoriarty9714
27 күн бұрын
depending on the size of your pot, you could end up paying more in tax than you will get from the benefit system
@chrisman5882
27 күн бұрын
Get 25% every other year
@jonboy2950
27 күн бұрын
That has actually become a trend.
@darnellcapriccioso
16 күн бұрын
I have two pensions. I would much rather have had a Roth 401k throughout my working lifetime. $500/month invested from 25 - 65 at 9% is $2.3mil. I hate my job but can't leave because of I won't get my state pension. What do you think about doing a 70/30 stocks bond ratio?
@maiadazz
16 күн бұрын
I would avoid the index funds, mutual funds, or specific stocks for the time being. 5% fixed incomes are the safest bet for now. Save your cash for when the market actually shows signs of recovery
@ChadRoberts-x6i
16 күн бұрын
At a point like this, when the pressure is already on you to retire, its best recommended you seek the services of an advisor, as this allows you make smarter investing decisions.
@Aaronduckstein49
16 күн бұрын
Generally speaking, a good number of people discredit the effectiveness of financial advisor in planning for retirement, For over the past 5years, I’ve had a financial advisor consistently restructure and diversify my portfolio/expenses and I’ve made over $1million in gains… might not be a lot but retirement doesn’t seem so farfetched anymore.
@richardhudson1243
16 күн бұрын
Mind if I ask you to recommend this particular coach you using their service? Seems you've figured it all out.
@Aaronduckstein49
16 күн бұрын
Her name is Annette Marie Holt can't divulge much. Most likely, the internet should have her basic info, you can research if you like
@DaveCulbertson
2 күн бұрын
I lost over $80k when everything started to tank. Not because I was in an exchange that went belly up. I was just stupid to hold and because that's what everyone said. I'm still responsible. It just taught me to be a better investor now that I understand more of what could go wrong. It took me over two years of being in the market, I'm really grateful I found one source to recover my money, at least $10k profits weekly. Thanks Kimberly Ann Doran.
@Brucelanham845
2 күн бұрын
Wow. I'm a bit perplexed seeing her been mentioned here also Didn’t know she has been good to so many people too this is wonderful, I'm in my fifth trade with her and it has been super.
@EilishMacaire98
2 күн бұрын
The very first time we tried, we invested $2000 and after a week, we received $9500. That really helped us a lot to pay up our bills.
@Scottweeier846
2 күн бұрын
You trade with Kimberly Doran too? Wow that woman has been a blessing to me and my family.
@AmandaStewart0908
2 күн бұрын
I'm new at this, please how can I reach her?
@Josephbasta827
2 күн бұрын
I was skeptical at first till I decided to try. Its huge returns is awesome. I can't say much.
@kingzen-v5z
19 күн бұрын
I'm so glad I kept track of my old pensions. I had one from my first job that I thought was worthless, but it ended up being worth over £60,000! It took a while to track down, though - the fund had moved to five different providers
@charlescharles9345
19 күн бұрын
That's incredible! I've been trying to get my finances in order, but I don't know where to start. How did you manage to track it down?
@kingzen-v5z
19 күн бұрын
I work with Monica Mary Strigle, a financial planner, Her expertise in tracking down old pensions and navigating the financial market has been invaluable. I feel much more confident and in control of my finances thanks to her guide
@bozenapearcy6366
19 күн бұрын
I've been trying to get my head around my own finances, but it's overwhelming. How does Monica help with navigating the financial market?
@kingzen-v5z
19 күн бұрын
Monica is brilliant. She takes the time to understand your goals and risk tolerance, then provides tailored advice on investments and pension consolidation. She's been instrumental in helping me make informed decisions and avoiding costly mistakes. She's got a deep understanding of the UK pension system and the financial market, so I trust her advice completely.
@charlescharles9345
19 күн бұрын
impressive,What other ways did she assist you?
@craigrothwell6144
28 күн бұрын
I took mine the day Labour came into power, Love from sunny Tenerife :)
@GillerHeston
2 күн бұрын
Increasing tax rates are the reason I rolled over my 401k to a Roth. I don’t want to be 59 paying taxes on current income on withdrawals made from my retirement account.
@rogerwheelers4322
2 күн бұрын
Pre-tax contributions may help reduce income taxes in your pre-retirement years while after-tax contributions may help reduce your income tax burden during retirement. Both have their perks but you can also save for retirement outside of a retirement plan, such as in an individual investment account or employing the services of a retirement planner/investment advisor.
@joshbarney114
2 күн бұрын
I completely agree; I am in my mid 40s, approaching retirement, and have approximately over 2million dollars in external retirement funds. I am debt free and have very little money in retirement funds compared to the total value of my portfolio over the past three years. To be honest, the Fin-advisor can only be neglected, not rejected. Just do your due diligence to identify a fiduciary one.
@FabioOdelega876
2 күн бұрын
This is exactly how i wish to get my finances coordinated ahead of retirement. Can you recommend the financial advisor you used to get ahead?
@joshbarney114
2 күн бұрын
Certainly, there are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Marisa Michelle Litwinsky’’ for about three years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
@FabioOdelega876
2 күн бұрын
I appreciate this. After curiously searching her name online and reviewing her credentials, I'm quite impressed. I've contacted her as I could use all the help I can get. A call has been scheduled..
@bombasticlove76
26 күн бұрын
Money is not meant to control people, rather it is meant to be put to work producing more money for you. You cannot build wealth without putting money in its rightful place...
@mohamedali-fj8xz
26 күн бұрын
I feel sympathy for our country, low income people are now suffering to survive yet inflation and recession keep increasing daily, many families can't even enhance the good cost of living anymore. You've helped me a lot Sir Brian! Imagine I invested $50,000 and received $190,500 after 14 days
@mfmcintyre
26 күн бұрын
Very possible! especially at this moment. Profits can be made in many different ways, but such intricate transactions should only be handled by seasoned market professionals.
@katiekilbo
26 күн бұрын
Some persons think inves'tin is all about buying stocks; I think going into the stock market without a good experience is a big risk, that's why I'm lucky to have seen someone like mr Brian C Nelson.
@MianHussnain-tu1wi
26 күн бұрын
Finding yourself a good broker is as same as finding a good wife, which you go less stress, you get just enough with so much little effort at things
@BraunRob
26 күн бұрын
Brian demonstrates an excellent understanding of market trends, making well informed decisions that leads to consistent profit
@hannible1002
27 күн бұрын
63 year old bloke here. We have 500000 combined. House paid off. I intend to spend the lot!
@clivewalker5465
21 күн бұрын
Better hurry up , Labours appetite for others Peoples hard earned Money is never ending .
@hannible1002
21 күн бұрын
@@clivewalker5465 I dont live in the UK Clive. However we do have money invested there. I am in the process of moving it away from the thieving liberal sh.t heads. Take care!
@Japowuk
7 күн бұрын
@@hannible1002thinking of doing the same! In the meantime I’ll courier some of your cash for you for a free flight & hotel 👍🏾🤣
@Captainblack710
11 күн бұрын
I’ve just taken my personal pension out, the full amount, I am 62, I think it would of been means tested in future and I wouldent get my old age pension in full because I tried to look after myself, so I’m going to Thailand until it’s gone, I’m making shure Starmer dosent get a penny of it, I’m going to blow the lot on wine women and song, good luck with what ever you choose to do !
@villaman4818
2 күн бұрын
Good lucky buddy...fill your boots :)
@clivewalker5465
21 күн бұрын
Never save , spend what you have , never purchase a private Pension , sign on , and do work on the side , the Government will throw benefits at you .
@paulbutler6588
9 күн бұрын
I'm 55 this month and I'm going to take everything out of my three pensions
@frankieRandle8779
8 күн бұрын
What and pay the tax?
@paulbutler6588
6 күн бұрын
yes
@frankieRandle8779
6 күн бұрын
@@paulbutler6588 isn’t there a more efficient way to do it, tax wise?
@RobNicol-h7l
6 күн бұрын
It’s worth doing the maths on what its current value is, project the annuity value would be and factor in inflation effects and see how long you would have to live to get the full benefit of the annuity. The present value, invested in your own name is probably a better bet. It’s what I did and I’ve cashed out in August.
@jamiebrown9198
17 күн бұрын
I’m going to b 52 in January and is planning to take 25% tax free lump sum when I’m 55 to pay off my mortgage, when my fixed deal ends a few months later. If Labour messes up my future, I’ll emigrate. I’ve worked extremely hard for my private pension and gone without over the years to top it up.
@frankieRandle8779
8 күн бұрын
As long as you understand your state pension will not rise every year if you live outside the uk.
@2pb
6 күн бұрын
@@frankieRandle8779 Not entirely accurate - Whether or not the state pension is indexed is based on the country that you move to.
@frankieRandle8779
6 күн бұрын
@@2pb yes sorry you’re right
@manishg214
10 күн бұрын
Sunak kept warning us about Labour 😂😂
@bordersw1239
27 күн бұрын
If I take any of it I plan to spend it on my home - install solar and battery, update 21 year old kitchen and shower room. Possibly update my heating system.
@darrenspencer3883
22 күн бұрын
That's what I'm doing aswell
@andypandy9931
28 күн бұрын
This is exactly the position I am in. I retired 2 years ago and combined my 2 pensions and left it to hopefully grow which did until the last couple of weeks. Surely the government wouldn't dare remove the 25% overnight, there would be a lot of furious people if they did.
@se3059
28 күн бұрын
But what would these furious people do? Starmer practically has a one-party state, and looks like he's keen to lock up anyone with thought crimes. He's made it pretty clear he's coming after anyone with "savings". My bet is they won't remove it but reduce it considerably.....say down to £100k and implement anti forestalling measures. I elected to take mine earlier this year.
@jaybo8136
28 күн бұрын
They would!
@Vanosphere
28 күн бұрын
I bet people said that about the Winter Fuel allowance. But they took that.. yes people were angry but now they've already given up and it's done. The government knows any anger blows over and we just take it.
@bonditltd5346
28 күн бұрын
It would be unpopular and political suicide to go after pensions; but Labour are known for making these stupid fiscal decisions . Plan for the worst, hope for the best.
@doncarter4172
28 күн бұрын
They have already said they will stop the tax free cash, but 24 hours later a treasury staffer said Starmer was getting mixed up. Also Rachel Thieves said it was unfair to get tax on the way in and out so they would be looking at removing it. They cannot take it once you have.
@davewalker7126
28 күн бұрын
Great video - I took my lump sum 6 years ago, didn't need it, still haven't spent it. I probably would not have done different but your clear explanation of the pro's and cons would have been very handy at the time I decided.
@Bluearmy76
15 күн бұрын
With Liebour circling i’d take as much as you can asap 🤬
@markwilliams4274
21 күн бұрын
Just turned 48 years old and in a job on 50k a year basic.I have no mortage or any debt and paying 26% of my wages plus my annual bonus into my pension to make sure I dont pay 40% on my earnings because I can earn a few extra quid in overtime over a year quite easily.I intend to up my contribution to 30% in the next year or two as I plan on taking out my 25% over a few years to build up a nice little amount in a isa so I can retire when I am 60,62. I plan on having around 150-170k available to keep me going for 7 to 9 years before my state and pension pots start to pay out. I enjoy working however I refuse to work until I drop for anyone other than my kids.
@charlies418
27 күн бұрын
Even if you're no where near retirement age, make sure that you keep track of all your pensions. I had a "parked" pension that I thought was worthless because it only had 3.5 years of contributions, however over the years it was worth over £30k+. It took a while to track down as the fund had moved to 5 different providers!
@user-km1dj2mw6c
24 күн бұрын
Nicely explained. Let’s see if labour are silly enough to crash the bond markets by Joe Public panicking and taking the 25% lump sum tax free. Knock on effect will be value of remaining pension pots dwindling as stock markets go down as a consequence of the panic ?
@dominic8218
28 күн бұрын
Important to make financial decisions when the facts are known. Anyone trying to get you to do something other than this tends to be doing it for their benefit and not yours.
@RustyVanDoor
28 күн бұрын
I took mine a while ago but it did pay off the mortgage and leave me 1k a month better off.
@ianparker1456
28 күн бұрын
i will take my 25% and put 20k into my ISA holding the same USA tech stocks my SIPP had
@fanfeck2844
28 күн бұрын
I wouldn’t be surprised if they reduce the ISA allowance too.
@coling4991
25 күн бұрын
Planning exactly the same with my wife's pension in next couple of months. Get the tax free part out of pension and straight into her ISA with the same investments. Knowing our luck and this greedy government though, they'll start taxing ISA's 🙄.
@alexsteven.m6414
Күн бұрын
I just switched up my Roth IRA to 50% SCHD, 25% SCHX, 25% SCHG, and my Roth 401k is 70% vanguard S&P 500 index, 20% vanguard growth index, and 10% vanguard international index. Seeking best possible ways to grow $350k into $1m+ before retirement in 3 years.
@PremSteve-yg4de
Күн бұрын
Safest approach i feel to tackle it is to diversify investments. By spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown. its important to seek the guidance of an expert
@NorthCarolinaForward
Күн бұрын
It's true that many people underestimate the importance of advisers until their own feelings burn them out. A few summers ago, following an ongoing divorce, I needed a significant push to keep my company afloat. I looked for licensed advisors and found someone with outstanding qualifications. She has contributed to my reserve increasing from $275k to $850k regardless of inflation.
@firefighter-i6q
Күн бұрын
How can I participate in this? I sincerely aspire to establish a secure financlal future and am eager to participate. Who is the driving force behind your success?
@NorthCarolinaForward
Күн бұрын
Her name is “Rebecca Nassar Dunne’” can't divulge much. Most likely, the internet should have her basic info, you can research if you like
@dengdelun3109
Күн бұрын
She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing.
@malcolmlindley4465
19 күн бұрын
Excellent video, thanks. Shows the real value of the often derided ‘middle man’ Financial Adviser.
@Mikey_NoCap
28 күн бұрын
I just took mine in early July. I suppose it is down to whether you need the tax free cash to be part of a wider more regular retirement income, also has your planning for future income assumed some growth on that TFC amount. Personally I paid off the mortgage, made myself debt free, paid off daughters uni loans and put some into ISAs, but fortunately was not relying on that chunk to generate a ‘living’ income. Paying off the mortgage, and being debt free was my main aim and feels so good to be free and clear and knowing my daughter is not burdened. Your advisors / investment companies will of course tell you to stay invested (as they normally see a % of funds invested as a fee) but I have a very jaundice view already of 2 Tier and Ms Thieves and previous form would indicate they are coming after whatever people have worked hard to save up.
@PaulB-q3d
27 күн бұрын
My SIPP has a total charge of .25% capped at £200 a year. Hardly making the fund manager rich. The stock market on the other hand is doing very nicely.
@tancreddehauteville764
28 күн бұрын
Reeves won't fiddle with the tax free cash. What she will do is make pensions eligible for IHT, for sure, and perhaps introduce a common tax relief of 30%, or 25%. Even that is unlikely though, in my view.
@carlrobertsifa
28 күн бұрын
Good points
@iMetal87
26 күн бұрын
Common tax relief is complex for salary sacrifice which hasn’t previously even had NIC EE’s or ERs applied due to complexity. My guess will be stamp duty land tax being removed from purchase of property and applied at a lower rate as an annual charge for owning property
@tancreddehauteville764
26 күн бұрын
@@iMetal87 We already have an annual charge, called Council Tax. There is no need for another one, and it would be massively unpopular.
@iMetal87
26 күн бұрын
@@tancreddehauteville764 they promised not to alter council tax bands. They didn’t promise not to introduce a new tax. Large earners can relocate to Dubai or older large earners can slow down. People in council tax band H can’t move their property abroad. Taxing SIPPs and ISAs could reduce investment. The large properties of Mayfair and rural country piles might be just what the looters have in their sights. Stating a hunch is not to be confused with an endorsement.
@tancreddehauteville764
25 күн бұрын
@@iMetal87 Those lucky enough to live in mansions have little sympathy from me. They call sell up and move to a normal property or just leave the country. Up to them.
@richardlowman2279
14 күн бұрын
The tax free lump sum can be invested in tax free ISAs and/or P Bonds to get returns. Also leave a small amount of the tax free allowance in pension pot to get further tax free rewards as pension pot grows over time.
@adrianmortimer3369
28 күн бұрын
Carl thank you for a good dose of common sense.
@williambaker427
14 күн бұрын
Option to take tax free lump sum and reinvest in a stocks & shares ISA. Idea to rebalance SIPP and ISA accounts/portfolios. 🤔
@neilgould7371
25 күн бұрын
Draw out your 25% tax free because they WILL remove that allowance!
@AA-bl4bs
19 күн бұрын
I took my full 25% tax free lump sum in March despite my financial adviser saying he was against me doing so. I used £20k of it to top up my stocks and shares ISA giving me 5% tax free income. I invested the rest in a savings account paying 4.5% interest which is entirely free of income tax because of the combination of the £1k Personal Savings Allowance and the £5k starting savings rate. I will transfer £20k each year into the ISA, slowly increasing my tax free income from the ISA. The result is that I also take a much smaller monthly pension income which means I don't pay income tax at all on my monthly pension withdrawals. Also I pay less in charges on the remaining pension fund. I worked out that taking no lump sum but taking a higher monthly pension with a 25% of each pension withdrawal tax free would result in much higher charges which would not make the pension last any longer and wouldn't give me a higher net income than I currently receive. Plus I have the remaining lump sum to spend as I wish and don't have any fear of what may happen to pensions in the future.
@longrolstral
11 күн бұрын
What happens when interest rates fall again? The ISA and savings may suffer, right? Then again, I suppose it depends on the amount in the bank.
@frankieRandle8779
8 күн бұрын
What do you think of maxing out your isa and then maxing out premium bonds to avoid paying tax on savings, then when the new tax year starts cash in the bonds and add to your isa?
@MartynEdwards-c3x
14 күн бұрын
Taken tax free lump sum today. Will re-invest in our ISA's and my wife's SIPP where she will get the 40% tax relief. Not great for the IHT planning. I also suspect there could be a lifetime gifting allowance / cap introduced if SIPPs are brought into estates for death duty liabilities - as people will see gifting as more viable way to pass on wealth. All will become clearer after October 31st - we hope 🤞
@davidhumphries3614
8 күн бұрын
I tend to agree. The use of stocks and sharesISA’s effectively keeps the tax free element growing at a similar rate to the pension investments. Until of course this gormless government caps ISA wealth in some form. Luckily, it is a much smaller target compared to the pension tax relief.
@RomeoDelta-th5it
20 күн бұрын
Very useful explanation of this topic put in plain language. Have not taken my lump sum yet, as do not specifically need the funds. It would seem that the government would cause more complications for itself by scrapping the scheme. Maybe more likely to reduce the percentage, if they were to do anything. They are currently playing with fire at the moment with pensioners. Hopefully time will not cause people to forget.
@grahambailey886
20 күн бұрын
Exactly, they wound not remove it altogether they'll just reduce the tax free % amount if anything
@lescallus7865
28 күн бұрын
They don’t need the money to fill the black hole because that’s all lies. They need the money to pay for all the boat people in the hotels. Why don’t they just come out and be honest instead of taking money?
@kenneth2656
28 күн бұрын
Exactly
@fanfeck2844
28 күн бұрын
What do you mean? It’s only £10 billion a year
@petermorris3665
28 күн бұрын
They've also given 15 Bn to an overseas climate fund and at least 10 Bn extra for pay rises to placate militant unions. Still, not to worry, taking heating allowance off 10 million old people appears to be part of their solution.....
@londo776
27 күн бұрын
Didn't take long i just spotted one of the racists
@petermorris3665
27 күн бұрын
@@londo776 Yawn. The days of calling anyone you disagree with a 'racist' are over. Its time for an educated debate about the problems that uncontrolled visitors causes. This has an impact on class sizes, housing demand, rent prices, waiting lists etc.
@well-blazeredman6187
25 күн бұрын
My instinct is that most people should probably take the tax-free cash before Reeves can axe it, in the next tax-year. And the money should then be invested in a more flexible ISA. Bonds and gilts? Attractive right now, with stockmarkets looking toppy and interest-rates edging down. Excellent video, which I'm forwarding to a family member.
@rupertmiller4718
27 күн бұрын
I have always thought one should take a balanced approach to this although my IFA disagreed with me because of IHT. There are currently ISAa available for upto £20k a year, and any gains within it are tax free, but unlike a SIPP withdrawals are not taxed. So I have always felt that the 2 should be used together. So you can park £20k of your tax free cash in an ISA each year. There is also the Gilt option, a bit more complicated but there is no CGT on the gains portion of a gilt although the income is taxed. So theoretically you could park some cash in say the TN25 gilt where most of the yield to maturity will be gain as the coup[on is only 0.25%. Of course we have no idea what the government will do. The super rich are far brighter than our chancellor or her treasury civil servants and employer far brighter advisors so Reeves won't be getting much more tax out of them. A large swathe of the population doesn't pay enough to pay for the House of Common' toilet paper, so the chancellor is left with taxing people who have tried to be prudent and saved.
@charlies418
27 күн бұрын
My biggest worry is that a Labour think tank are thinking of means testing the state pension. My advisor worked out that I could retire early and in 10 years time I would get an uplift from the state pension. If it's means tested then I fear that I cannot retire early and will have to continue working.
@michaelobrien6770
11 күн бұрын
this is the one that no one is talking about - but you know its on the plan - means test = take it away
@MrTpain1945
26 күн бұрын
The possibilities are frightening when you have been planning your retirement for a long time,and they change the rules ,this could be devastating to pensions , you may have to either retire early or have to work at least another 4 years.
@craigsketo
28 күн бұрын
I'll get screwed if they do implement a block on taking it, can't take mine until November and have been waiting do do so for a couple of years, will be so frustrating if they implemented it a month before I could take it
@flustered1939
27 күн бұрын
If you are 3 months away from 55 bday you can apply . That’s what I have done
@craigsketo
27 күн бұрын
@@flustered1939 thanks for that information I didnt know that and am actually 3 months away as of today so I’ll get on it 👍
@craigsketo
27 күн бұрын
@@flustered1939 presumably this means you can apply so that all the paperwork is done and its ready to be paid on your birthday ?
@flustered1939
27 күн бұрын
@@craigsketo this is my understanding
@123prestolee
22 күн бұрын
@@flustered1939I’m 55 next April - ask the obvious but am I buggered?
@radiantinred
27 күн бұрын
I have played the risk reward game. Not much I can do after new regulations come in. Taken some tax free cash - maybe some of this tax free cash will grow tax free in a stocks and share ISA in the same fund it was in in my pension, maybe some 0% gilts , maybe a bank account. Whatever when the cards are dealt I am getting a good price for my bet. Gains/losses in my pensions vs gains/losses elsewhere. If tax free tax is eliminted or reduced to say 100K then I lose big , if I pay a bit of extra tax in the short term it's a small marginal loss.
@johnkost3805
Күн бұрын
Used mine to pay off my mortgage, saving me mortgage interest payments and giving me peace of mind
@user-zy7ns8px3l
22 күн бұрын
I want my 45 years of ni contributions back and they could keep the pittance they pay pension
@williampatterson3683
Күн бұрын
I have been using Drawdown to withdraw TFC since age 66, using it to live on. I have had 3 years "tax free" income and currently due to the extra growth I've had in the unccrystalised sums remaining. There is enough left to last me another 2 years so I have decided to withdraw it to protect it from Reeves and I will put half in a cash ISA with the remainder placed in a S&S ISA.
@simoncook1325
28 күн бұрын
I am 55 but not taken any of my pension yet.I may withdraw tax fee cash and put in my ISA with the same ETF
@enigma7791
28 күн бұрын
Be quick! The word is Labour are looking at taxing it. I took mine in March at 55 and best thing I did. It's making 4.5% in the bank and Labour have missed my boat!
@richardharnwell3331
27 күн бұрын
@@enigma7791I assume you need that money in the near future? Makes sense to have it in cash if so - low volatility more important than growth. If not, you’re losing a lot of potential growth (especially if interest is taxed) by not having it invested for the long term - a globally diversified fund would be averaging 10% or so a year. I’ve taken the maximum tax free cash each year that I can put in stocks & shares ISAs. No tax and it continues growing at the same rate it did in my pension as it’s invested the same. Would seriously consider looking at something similar if you want to beat inflation by a decent amount - inflation has only just come down from 7-9% - even the very best interest rates meant you were still losing money in real terms recently.
@andrewbrazier9664
9 күн бұрын
@@enigma7791Not advice to remove but taking your 25% tax free entitlement would also have the effect of reducing your annual pension charges by (Typically 1+% on remaining pension pot capital) by 25%. With one caveat that the pension funds may (or may not) outperform your cash isa.
@edwardpreston3663
21 күн бұрын
Hold on! He highlights the con of taking out your money but then losing out of 10 years of growth if things don't change. The assumption is that your money will grow enormously. Well I calculated my Standard Life annual growth over 18 years at my true rate of return at 0.45%. It worked out at about £26 per £50,000 after fees.. ( Verified with Standard Life in 2013).The majority of ACTUAL monetary return was taken away for their 1.5% fee of the pension pot. The "growth" was down in the main to my annual contributions and a rising stock price at that moment in time. ie. IF THE STOCK MARKET GOES DOWN 10% SAY THEN YOUR POT GOES DOWN 10%. ie The value in your pension is dependent almost entirely on the value of the stock market stocks. There is a big stock market crash and reset just around the corner which will decimate the private pensions of everybody, though probably not government employees who will be ring fenced as usual. And what is annual inflation doing to your pot? Don't believe Govt. figures on inflation. We all know that it is nearer 8% or more and not going to go down any time soon. I took out my whole pension pot and bought some rental property gaining a risk free 4% profit income while making my capital investment inflation proofed as well. Your fiat currency in the bank or pension is not inflation proof in the slightest. GET IT OUT NOW!.
@andrewbrazier9664
9 күн бұрын
Standard Life & other providers use age profiling system now So the closer you are to your chosen pension age funds are moved across annually to low risk "pots" such as fixed interest to reduce volitility. Also pension returns vary enormously depending on the funds invested into. That low net return & 1.5% annual charge is uncompetative now.
@fanfeck2844
28 күн бұрын
Great video Carl. Showing all the nuances surrounding this issue
@GaryNorman-if9ph
21 күн бұрын
I was hoping to live off my savings for a while but withdraw every year £16 K. £4K tax free and £12K taxable …. But it’s not because it’s my personal allowance
@andrewbrazier9664
9 күн бұрын
Correct 👍
@Benzknees
28 күн бұрын
What was the rationale behind govts allowing 25% tax free in the first place? Was it compensation for some earlier tax raid on pension investments?
@tancreddehauteville764
28 күн бұрын
It has always been there - I guess as an incentive.
@jimmoriarty9714
27 күн бұрын
its a percentage because the rich get richer... the bigger the pot, the bigger the percentage
@PaulB-q3d
27 күн бұрын
@@jimmoriarty9714well it’s capped quite low
@bordersw1239
27 күн бұрын
It injected money into the economy.
@charlies418
27 күн бұрын
YES - you should take the lump sums from your "parked" pensions and start claiming from them if you're 55. It is illegal to use the money from one pension to top another up, however, if you're still working then you can do this ie. you pay as much as you can into your company pension (you get 20% uplift from the government on any contribution) and start claiming your "parked" pensions to top up your salary.
@bryonybentley254
17 күн бұрын
Last Labour govern robbed pension pots - so short sighted given our aging population and need for the elderly to be able to afford things the state will no longer provide, through choice or necessity
@peteraustin1905
27 күн бұрын
I retired 3 years ago, I didn’t take any lump sum , half my monthly income is tax free the other is my tax free allowance from my pension, if they abolished the tax free millions would pay tax on their pension, labour won’t get another term if they do that.
@colinhar5766
26 күн бұрын
Labour won't get another term and they no it , that's why they will do as much damage as possible
@3thinking
28 күн бұрын
Labour will take everything they can, if it can be stolen, it will be. Take it and spend it whilst you can.
@jimmoriarty9714
28 күн бұрын
thats what the tories have just done for the last 14 years...
@rattylol
27 күн бұрын
But of course Tories would never do that.....oh wait!
@MartinFowler-zq5ik
19 күн бұрын
The Tories introduced more taxes in the last fourteen years than any prior government.
@iancollins8532
20 күн бұрын
Take it out and buy gold, they can't find that .
@simongeorge2505
28 күн бұрын
If your already at the Lump Sum Allowance then it is very very unlikely that any government is going to increase this figure in the foreseeable future. You might as well take that now, put it into whatever investment vehicle it was in before and just be prepared to pay CTG on the gains. You also have the ability to decant it to ISA’s each year and remember if your ‘married’ you can put it in your partners ISA as well and also put a little (£2880) back into both your pensions (that amount should not trigger the recycling rules) and get 20% tax credit back from HMRC.
@johnw2758
18 күн бұрын
Take the 25% rather than the higher annual pension payment as by the time you draw level with the instant capital you would have got, you will be at pension age anyway (probably/hopefully)...
@keithhooper6123
25 күн бұрын
A friend is taking his prison service pension,and also started taking his state pension.Now finds his prison service pension is being taxed at £400 per month. I am.in the process of taking my 25% tax free. That a five figure sum the government won't get gas on.
@gavinspiby8304
7 күн бұрын
Take it now take it now don’t wait because it’ll be too late
@bonditltd5346
28 күн бұрын
Once you start taking the taxable remainder for example from drawdown then you can’t take more tax free cash. However, you can take 25%, leave the rest, add up to £60k a year and take another tax free lump sum from that. Or, take the lump sum and add it back into your pension.
@carlrobertsifa
28 күн бұрын
True but you need to be careful of the tax free cash recycling rules.
@jimmoriarty9714
27 күн бұрын
@@carlrobertsifa i thought that once you had started to draw your pension, the maximum you could put back in was 10K not 60K??
@moneyminer2308
26 күн бұрын
I think Labour will up the % both employers and employees will need to pay in, IHT protection will be removed. , and flat 30% tax relief on contributions , and possibly go back to old fashioned annuity purchase for part of the pot.?
@iaing9028
26 күн бұрын
They won’t reintroduce compulsory annuity purchase, but they might do your other suggestions.
@moneyminer2308
26 күн бұрын
more people will inevitably reach the £1m pot over the next few years, the tax free element in real terms will diminished so even at 3% inflation means it loses £8k tax free benefit in real terms each year
@stevegray5709
27 күн бұрын
What if someone is over 74 and approaching 75 with an uncrystallised DC pension. Surely it's best to take the full 25% tax free as after 75 you can still take the 25% but its taxed. Or is that wrong?
@radiantinred
27 күн бұрын
Are you not cnfusing this with the fact that pension death benefits are taxable after age 75 (ie if you die before 75 there is no IHT). There used to be a benefit crystallisation event (BCE) test at 75 when the LTA existed. Maybe the LTA will come back. Who knows.
@stevegray5709
27 күн бұрын
@@radiantinred Thanks. I'm aware of the tax implications for beneficiaries of dying prior to or post 75 but my recent understanding is that your 25% lump sum, if not taken before, is taxable after 75. To the best of my knowledge there is still a BCE test at 75.
@JUANORQUIO
27 күн бұрын
That’s Interesting! Thank You so much!
@moneyminer2308
27 күн бұрын
If you have reached the max £268k tax free available, then jackpot, no more tax free advantage to be had, cash out take this cash now for sure , inflation will eat it away..
@stevenicholls1144
7 күн бұрын
Very helpfull & logical advice , well presented . Thank you
@BishopBallsby
21 күн бұрын
I was always planning to take mine while it was still there,..... Looks like im going to run out of time by a year or two 😡......
@eckie4679
21 күн бұрын
Based on what?
@Pboy22
27 күн бұрын
It’s wrong to say that the tax free lump sum is a percentage that rises with the value of your overall pension. It is subject to the £268k maximum currently
@angelahall2872
28 күн бұрын
Hi Carl, Another great video clear, concise information as always thank you
@carlrobertsifa
28 күн бұрын
Thanks so much for the feedback!
@jimgardner6394
10 күн бұрын
Isnt there another rumour going around that pensions will no longer be free from IHT upon death? That would be another significant change if it happened!
@giantputt7066
28 күн бұрын
Definitely, I did exactly 12 years ago
@specialandroid1603
6 күн бұрын
I retired early to avoid future government taxes.
@sdrest
21 күн бұрын
YES YES YES
@garyrobets6147
20 күн бұрын
Thank you for this information
@elizabethgribben4320
14 күн бұрын
Bought new house had to take my tax free to do it up
@GillianSmith-mo1cg
12 күн бұрын
I am looking at taking a tax free lump sum but am an Australian resident now. Will I have to pay tax on it in Australia? If so, at what rate will I be taxed?
@beverleysilcock9135
27 күн бұрын
Take your 25% if you can
@Cherhill
22 күн бұрын
I have 3 separate employee pensions, I have already taken 25% tax free from one. I now plan to take 25% cash free from a final salary pension which is separate. Can I do this without being taxed. I think I understood the maximum tax free is £268k. The pension is only small and I’d like the tax free cash if possible.
@charlies418
27 күн бұрын
Remember - it is best to leave a pension where it is rather than transfer it due to transfer fees!
@edwardmclaughlin7935
28 күн бұрын
To see the sense in taking whatever is available, we don't need to heed rumours of any planned Labour move. All we need do is take stock of what inflation has done over recent years and that the same theft is going to be carried-on. Labour are on the same wrecking job that the Tories presided over. Take as much as you can and buy something that will hold value.
@ianandjane1
21 күн бұрын
I will probably take mine, looking at spending over next 2 years, a very very nice holiday and being able to save in ISA’s I don’t see as much downside taking it as risking labour taking it away, with their classic argument about being fair to all why should the rich benefit when those who don’t work can’t do it I’m certain they’re going to pull it one way or another
@conkers66
22 күн бұрын
Its sickening how goverments treat the general public. If they had a clue ?
@richardkingadi5511
17 күн бұрын
I have a pension with NEST - they don't offer a Draw Down facility, so I'm unsure whether or not I could draw my 25% tax free without changing to another pension provider, who does offer Draw Down.... (I did email an enquiry to NEST, but the answer left me none the wiser!)
@denby87
10 күн бұрын
You could open a sipp with the drawdown option and just transfer the lot.....
@PeteMulv
28 күн бұрын
Thaks for a very clear and easy to understand video. If you were to take the tax free cash is there any form of trust it could be put into get round teh enheritance tax?
@villaman4818
2 күн бұрын
Gret video ..Thanks. Question please: I have an old pension of £300,000. If i take the 25% , what happens in lets say 5 years if i transfer the remaining 75% into my "current" salary sacrifice pension ? Would this then effectively "reset" the 75 % and thus i could then take a 25% of a greater amount tax free = (75% legacy pension + Current pension * 25% tax free = ) ??
@OscarOwenn
27 күн бұрын
After losing my job and turning 41 lately, I'm at a turning point in my life. What options do I have for making big investments now that I have $425k saved for an early retirement at age 50, $10k in an HSA, and a property that might provide an extra $200K?
@AlexClarkcompany
27 күн бұрын
It’s reasonable to consider getting a financial advisor now, but delaying retirement might be a wiser choice
@OscarOwenn
27 күн бұрын
I’m unsure weather to find another job or merge all my investment accounts into one. If I do, how should I handle it, and are there any potential drawbacks? I also plan to sell my property, which could add $200K over time. Should I consolidate my investments into a single account or spread them across various markets?
@BaileyJames-zv2ddd
27 күн бұрын
These are key questions for a financial planner. I connected with mine at a summit, and with her help, my wife and I reallocated our 1.7M portfolio between a traditional IRA and brokerage account. She’s been managing the investment with our approval and has helped us recover twice our losses. Currently hodl’ing steady and cautiously navigating the market
@LouisMorganxb3
27 күн бұрын
That’s impressive! My portfolio has been struggling. Who is your advisor?
@BaileyJames-zv2ddd
27 күн бұрын
Leah Foster Alderman. Look her up online, she's well-known.
@kevp6345
21 күн бұрын
Bit of a question. If I put in for my public sector pension earlier than anticipated. Shoukd labour try to tax us will I pay tax on it if I submit it before the deadline, should it happen? Does that make sense? Do you have an email address?
@drhaykey
20 күн бұрын
I have a teachers pension which is dormant as I no longer teach. Is this fund still growing or are the benefits frozen. If so should I take my 25% tax free lump sum and invest it for a better return?
@Saul-71
22 күн бұрын
Yes take the lot before Labour change the rules
@DigitalJunior2003
25 күн бұрын
Surely this won’t apply to the NHS pension?
@Simon-jj2pu
21 күн бұрын
I did and then waited a year and moved to Spain. Spanish tax laws will treat it as income
@sanjanadeb2957
14 күн бұрын
Really interesting, can I still contribute if I take the 25% lump sum now? Can my company still contribute to my directors pension? Thanks
@Ukmongoose3
22 күн бұрын
Very useful. Subbed.
@LewiH9
22 күн бұрын
Yes yes yes, get out of it what you can tax free, and then, take the lot whilst you still can.
@roythompson1422
27 күн бұрын
I'm confused. If I take say half of my tax free lump sum and leave the balance invested I thought that 3 times that amount would become a crystallised fund, but as it is still invested it would not be taxable.You seem to be suggesting that if I take out an amount equal to half the tax free amount only one quarter will be treated as tax free the rest will be taxed. Any thoughts please ?
@vivabielsamot5828
22 күн бұрын
Yes take it all before there comes a time when you'll no longer be able to. Cash it and invest in something that will protect your wealth like gold.
@jimmyjemal8802
26 күн бұрын
If they want to discourage people from investing in pensions then go ahead.
@londonman8688
28 күн бұрын
if you pension pot is large enough for max cash free removal does it become more logical to do it ?
@jonathandilk5722
18 күн бұрын
Hi are you only allowed to take a tax free lump sum from your pension only once in your lifetime or is it only once per year?
@neilcole3406
13 күн бұрын
If l have 3 small private pensions, can l take a 25% lump sum from all three in the same year? I’m 66 yo!
@dawnmawdsley5084
9 күн бұрын
If you have more than one pension, can you take 25% tax free from each or only one,
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