Lifetime Allowance protection: Should you be applying?

The Lifetime Allowance (LTA) was introduced as part of ‘pension simplification’ in 2006. On 6 April 2006, known as A-day, broad changes were made to pension regulations, aligning the pension system under one set of tax rules, introducing the Annual Allowance, and the LTA. The LTA sets a limit on the value of pension benefits you can draw in your lifetime without triggering an additional tax charge. Since its introduction, the LTA amount has changed many times, and this has led to the introduction of HMRC protections. What are these protections, and ...

Self-employed? Is your family exposed?

New research has shown that millions of self-employed people are leaving their families financially exposed. Over recent years, the number of people who are self-employed has increased significantly; with nearly five million of us working for ourselves (Source: ONS). But it seems most are making no provision should they be unable to work due to illness, a decision which could have catastrophic consequences for their loved ones. The research, from Scottish Widows, found that: Only 7% of self-employed people have Critical Illness Cover to protect them, and their family, if they become ...

If you die or get ill, how long before the money runs out?

If you die or become ill how long before the money runs out 150pxA new report makes sober reading for anyone with a family or other financial dependents. The 2013 Deadline to Breadline Report from Legal & General,  looks at the impact of the main breadwinner dying suddenly or becoming ill. It's clear many households are worse off this year than they were in 2013.  Despite this some of the findings are both surprising and extremely worrying In the event of the main breadwinner dying ...

6 tips to avoid paying Inheritance Tax

6 tips to avoid paying Inheritance TaxIn 2007 George Osborne announced his intention to increase the nil rate band, the amount you can leave in your estate without paying Inheritance Tax, to £1 million. Fast forward six years and the government has announced that to help meet the cost of changes to how long term care is paid for, the nil rate band will be frozen at £325,000 until 2019 at the earliest. If the nil rate band had been increased to £1 million, ...