You can claim state pension when you reach the state pension age. For men and women, this is currently 66. However, the state pension age is scheduled to rise to 67 between 2026 and 2028. But what if you want to retire before state pension age?
Putting your money into a pension plan is one of the most tax efficient ways to save for the kind of life you want in the future. You normally get tax relief on the payments you make into a pension plan which are invested so they have the potential to grow and help you build up your pension savings. Employers can also contribute to a pension plan.
Many business owners consider their business to be their pension plan and selling it will fund their retirement. However, family are often involved in the business, and they want to continue trading, but cannot afford to pay a lump sum for the buyout, or, in some cases, the business fails. Therefore, an external fund can be beneficial.
One of the comments we hear frequently from clients reaching retirement is that they wish they had made more provision over the years.
Let us show you the tax efficiencies of pension planning and help you plan for the future. Give us a call now.
