Case Study – Retirees

John had 10 years until his retirement and inherited a large sum of money following the death of his mother. He planned to invest these monies and had received a detailed proposition from another financial adviser outlining how best to invest the money, however the proposals neglected the fact that he had an outstanding mortgage and little in the way of retirement planning, as well as being a higher rate tax payer.

We were approached by John for a second opinion and our solution was to fully repay the outstanding mortgage leaving John with disposable income of over £1000 per month and some surplus funds from the inheritance. We consolidated his existing pension plans and implemented a regular pension commitment to benefit from the significant tax relief available to him and ensured that John, and his wife, used their ISA allowances for two consecutive tax years, providing them with a tax efficient investment base on which to build.