Archive for November, 2020

Financial Planner wanted

Posted by Sam Binstead

Are you an experienced financial planner looking for a new opportunity with an ambitious financial planning firm? We’re looking for an experienced adviser to join our team of financial planners as our business grows and expands.

At Chilvester, our vision is to redefine the way that financial planning advice is provided to authentically make an impact for our clients, both financially and emotionally, to help them achieve overall wellbeing. Just what they need.

Established in 1999, we’ve been helping clients for over 20 years. We have two offices in Wiltshire with plans for further growth across the South West.

We help across all areas of finance, from helping someone arrange a mortgage to buy their first home, saving and investing for the future, planning for retirement, through to later life and estate planning.

If you’re passionate and enthusiastic about the difference that great financial planning can make to client lives, you could be a great fit. We like people who are committed to grow and develop themselves, are open to new challenges and who can bring new skills to our team.

It’s important that you believe in our brand and everything we stand for and share our vision for providing the very best client service. We like people who are ambitious and driven, but who also have the flexibility to grow and adapt as our business changes.

Requirements:

  • Level 4 Diploma in Financial Planning (or equivalent) with an SPS
  • Progressing toward Chartered status would be an advantage
  • Experienced in providing face-to-face advice including via video meetings
  • A real team player – our success is built on our small close-knit team

Benefits:

  • Salary of £35,000 to £50,000 (depending on experience)
  • OTE of £70,000 to £100,000
  • Access to workplace pension scheme
  • Death in service benefit

About you:

  • Ambitious and eager to develop your career in financial planning
  • A strategic thinker with attention to detail
  • A desire to succeed with a ‘can do’ attitude
  • You’ll be ethically minded and always put the client first

When should you take out your pension?

Posted by Sam Binstead

Those of us in the latter half of our lives may be looking forward to withdrawing our pension. If you’ve been paying into a pension for a lengthy amount of time, you may be tempted to take it out as early as you possibly can to reap the benefits straight away. However, doing this comes with its own set of risks.

For starters, when is the earliest you can withdraw from your pension pot?

Under almost all circumstances, the earliest you can withdraw money from your pension is 55. This means that if you’re under the age of 55, you’re going to have to wait a little bit longer. Beware of potential fraudsters, some companies are now specifically targeting the under-55s, telling them they’re able to access their retirement fund.

As previously stated, this isn’t doable under normal circumstances. If you do end up withdrawing from your pension early, not only will these  companies charge a fee, which can be as much as 30% of what you withdraw, but your pension provider will also alert HMRC that money has been withdrawn from your pension, which  in turn means you will end up having to pay a tax bill of 55% of what you take out. This all adds up, you could end up having to spend 85% of the money you took out. So, in short, It’s just not worth it. It’s a lot smarter and safer to wait until you’re at least 55.

It can be quite difficult to spot these companies offering an early pension release, as they can look similar to the completely legitimate companies doing this for the over-55s. While these companies are not technically illegal, it can be considered fraud if they fail to mention the hefty tax bill that comes with an early pension release.

As alluded to earlier, it is technically possible to  withdraw from a pension before the age of 55 without the need for an early pension release company, but only under specific circumstances. This can be done if:

  • You are considered seriously ill and want/need to retire early.
  • You have a “protected retirement date” specified in your pension plan. This must have been granted before 6 April 2006 and is usually reserved for people who could not continue in their profession until normal retirement age.

Under both of these situations you would not need to use a pension release company as your pension provider will be able to arrange everything for you.

Another thing worth keeping in mind is that even if you are tempted to take out your pension as early as you can, this might not be the best option in the long term. The longer you pay into a pension, the more money you will build up. This means that there could be a substantial difference in pension pay-out if you took it out at age 55, compared to taking it out at age 65.

Not only that, but we are living longer today than ever before, which means that our pensions may need to last longer than they did in the past. This is yet another benefit to waiting to take out your pension. Not only will you have more money to withdraw, but you most likely won’t need to stretch it out quite as much as if you took it out at an earlier date. So, all things considered, while it might be tempting to withdraw from your pension as early as you can, it may be better in the long run to wait a little bit longer.

We understand that all of this can be confusing, and of course, every individual will be different, so these particular points may not be valid to everyone. If you’re concerned about your pension or want to know when is best for you to withdraw it, then please don’t hesitate to contact us here at Chilvester Financial. We will offer easy to understand, professional and unbiased information that could be just what you need. So, if you’re in need of some advice, guidance, or just want to discuss your pension with an expert, then arrange your free, no obligation consultation with us today.

Pension options in retirement.

Posted by Sam Binstead

Retirement is seen by many as the end goal of your working life, a payoff for all of your hard work. However, for many this is looking further and further away. As of the 6th October 2020, the standard retirement age in the UK is 66, but more and more people are working later in life than this due to not being able to afford retirement by that age. Covid-19 has not helped in this regard either, with many people working less or even losing their job, meaning that their retirement plans may have to have been put on hold for the time being.

Covid 19 may have had the opposite effect on those who are in a comfortable financial situation though, who may have been furloughed or spending time working from home and enjoyed it, perhaps persuading them to consider an early retirement. However, this means that those who are now planning to retire early will potentially not be getting as much income stability as they would have if they waited.

In order to keep a steady income flow in your retirement, you’ll most likely be needing a pension. But what types of pensions are out there, and which one is right for you?

Generally speaking, there are three main types of pension:

The State Pension:

This is the most common form of pension, paid for by the government and rising alongside inflation rates every year. A state pension is built up via national insurance contributions that you have made in your working life. Contributions can also be made in some scenarios where you’re not working, such as when you’re bringing up children, or on some state benefits. The current tax year 2020-21 full new State Pension is £175.20 per week.

Defined benefit pensions:

A defined benefit pension is usually associated with those who work in the public sector. This pension is salary related and the amount of pension you receive is based on how long you’ve been a part of the scheme and how much you earn. This can be paid out based on either your pay when you retire or based on your average pay while being a part of the scheme. Typically, employers no longer offer Defined Benefit pensions and there are much stricter regulations surrounding existing plans.

Defined contribution pensions.

With a defined contribution pension scheme, you build up a pension pot with which you can draw an income from when you cut down working or stop entirely. You need to be at least 55 years of age before you can start to take money out. With this type of pension scheme, you can usually withdraw at least 25% of your pot tax-free.

 

If you’re planning on retiring soon, or have had to make changes to those plans due to the pandemic and are unsure of which path into retirement is the right one for you, then why not get in touch with one of our expert advisers here at Chilvester Financial? We will be able to give you just the information you need to make the best choice for your particular situation. If that’s something you think you need, then book a free, no obligation consultation with us today.

Chilvester to the Rescue!

Posted by Sam Binstead

Scammers are unfortunately a common problem in our world. This is even more the case nowadays with the ongoing pandemic, with more and more people staying home, meaning more people are around to receive potentially malicious emails and phone calls. We may all like to think we’re too smart or have too much common sense to get scammed these days, but that might not always be the case.

A few day ago, a client of Chilvester Financial called our managing director Andrew Tottman to discuss an investment opportunity that they had been approached with. Through the conversation, Andy was able to advise them that the activity seemed suspicious and should be avoided at all costs.

The scammers highlighted here, used sophisticated techniques to impersonate another company that our client already trusted. This makes the contact seem legitimate. However, when the requests became more aggressive and pressured, the client contacted us here at Chilvester. Following their conversation with Andy, the client reported the activity to the FCA, which confirmed that this was indeed a  scam and they were not dealing with the Company they trusted. Alarmingly the names given to the clients were actual employees of the trusted company they were pretending to be from.

This is a prime example of the great lengths that scammers are going to in our current financial climate to part people with their cash. Now more than ever, it’s important to stay vigilant and stay safe. Remember, if it looks or sounds too good to be true, it probably is!

If you fear you may be a target of a potential scam, or just want security and peace of mind, using a regulated financial adviser, such as us here at Chilvester, you can be safe in the knowledge that your hard earned cash will be kept safe and that professional advice and expertise is available for you whenever you need it.

Chilvester- just the advice you need.

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