Deadline 5th April 2013
Listen up!!! If you are a higher rate tax payer aged 55 or over you could turn £350 into £750 in a few weeks via a pension contribution. Just take £800 from your building society account, pop it in your pension plan and get £200 of tax back. Basic rate tax relief will gross the £800 up to £1000. Take back £250 tax free, you are left with £750 in your pension plan for a net cost of £350. MAGIC – who said pension funds are crap!!
If you are earning 2% from your building society it would take 40 years to catch up the pension fund even if it didn’t make a penny. Ok you need to know what you are doing but I promise you it works!
There is just one good reason for not doing this. If your default retirement plan is to spend all your money in the early years of retirement, and then entirely rely on State Benefits, pensions are not for you. Just don’t come to me for a handout!!!
The figures for basic rate tax payers and younger people are not as dramatic but they are still pretty darn good and well worth investigating.
Talk to your adviser today – the contribution needs to be paid by 5th April. If he says you are too late email me and I can show you how to do it on line.
Please like this post and if you have friends who would be interested either share the link on Facebook or email them a link.
This document and our on going services are not personal advice. We'll give you all the help and guidance you need to make your investment and retirement decisions, but we can't advise you. If you're not sure whether you need regulated financial advice we can put you in touch with a suitably qualified and experienced regulated adviser. Because we are not regulated by the Financial Conduct Authority you will not have access to the Financial Ombudsman Service in respect of any complaints. If you use one of the "no advice" on line services to handle investment transactions they will be Regulated and you will have access to the Ombudsman and The Financial Compensation Scheme in respect of their services. The value of investments/pension plans can fall or rise depending on market performance. The Retirement Team and The Investment and Retirement Coach are trading names of Capture Success Ltd Reg No 01825075 Tel 07770575122