Retirement Income

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Background

We were approached by the 62 year old friend of one of our long standing clients. He asked for our help in sorting out his Pension – in particular the mass of paperwork he had recently received from his Pension providers. He had contacted them by telephone stating he had now retired from his business & would like to draw his pension. We arranged to meet at his home with he & his wife to discuss their requirements.

 Client Concerns & Immediate Issues

  •  Client had retired & wished to generate an income
  •  Had a number of private pension funds & non pension investments such as ISAs
  •  Various ‘retirement packs’ had been sent to him by his current pension providers & he was overwhelmed by the huge number of options available
  •  Nervous of relying solely on future investment returns for his income

Our Initial Recommendations & Actions

  • Reviewed the information he had been sent & clarified his options
  • Recommended purchasing an Annuity with his pension funds taking into account his individual circumstances
  • Carried out a comprehensive review of his non pension investments
  • Established an investment portfolio in accordance with his appetite for risk & created a ‘tax free’ income stream

Results so far

  • Improved income - a smoker & like many of his age Mr Client has minor health issues therefore it was possible to obtain an Annuity income 20% greater than that available from his existing pension providers
  • Security & peace of mind that the annuity income was not subject to future investment returns
  • Flexibility – a tax efficient income stream from non pension investments which can be amended to suit any change of circumstances

 

Please Note: This document is provided as a working example and for information purposes only this should not be construed as financial or investment advice.