The Five Retirement Mistakes To Avoid

Making the right decisions at retirement will make all the difference to your financial security and affect how you pass your wealth down the generations. Tim Walker divisional director of Financial Planning at Brewin Dolphin in Exeter discusses the most common mistakes people make at this critical time and how to avoid them.

Tim Walker - Divisional Director at Brewin Dolphin Exeter

The five retirement mistakes to avoid

Making the right decisions at retirement will make all the difference to your financial security and affect how you pass your wealth down the generations. Tim Walker divisional director of Financial Planning at Brewin Dolphin in Exeter discusses the most common mistakes people make at this critical time and how to avoid them.

1. Retiring too early

It is likely your pension will be near to its highest value when you reach retirement. However, the timing of your retirement could have a significant impact on the level of income you receive. Generally, though subject to investment content and market fluctuations, the longer you can leave your pension fund invested, the larger the fund will become. This is due to compound interest which Albert Einstein described as “the eighth wonder of the world”.

2. Making the wrong choice with your pension

When you retire, most pensions do not automatically start to pay you an income. You have to make a choice: either to buy an annuity, which will pay you a guaranteed income for your lifetime, or take income drawdown, where your pension pot remains invested and you draw an income based on how your investments perform. Annuities suit those who need a guaranteed income and are a lower risk option than income drawdown, where your income may fall as well as rise.

For many people, a combination of guaranteed income through annuities and State or other pensions, combined with some income drawdown can provide the best of both worlds.

3. Not shopping around for the best annuity

If an annuity is the right choice for you, shopping around for your annuity can improve your income significantly. The shopping around process is known as using the ‘open market option’. If you are a smoker or suffer from poor health then you may be entitled to an even higher income, via an ‘enhanced annuity’ – it is always worth disclosing health conditions and lifestyle information when getting an annuity quote.

4. Not taking your full tax-free cash entitlement

After age 55 you may have the option to draw a pension commencement lump sum which is usually 25% of the fund value. If needed this could be used to clear your remaining mortgage, take a cruise or provide a supplementary income to your pension. Otherwise, leaving this money within your pension pot can offer valuable tax benefits, so take advice before you act.

5. Paying more tax than you need to

Perhaps the biggest tax mistake I see is people not using their Individual Savings Account (ISA) allowance. Retirement is the time when you will convert your portfolio from pursuing a growth objective to delivering an income and this process is easier and cheaper if your investments are sheltered in ISAs. ISAs are free from capital gains tax and further income tax and can provide you with a great source of tax free income.

Bristol Law Society's Property Conference

Bristol Law Society's Property Conference 

Wednesday, 8th October 2014 

9.15 am - 4.30 pm

Leslie Blohm QC will be speaking at Bristol Law Society's Annual Property Conference at Osborne Clarke, which will focus on hot topics in property law and practice. Judge Havelock-Allan QC will provide a welcome and introduction, with expert speakers ready to share their wealth of knowledge and experience - this promises to be an engaging and informative day.

Topics include:

• Welcome and introductions; Judge Havelock-Allan 
• QC Challenges and solutions to local development issues; David North and Neil Bromwich, Osborne Clarke 
• The devil’s in the detail in development agreements; Jonathan Seitler QC, Wilberforce Chambers 
• Contracts for the sale of land – how flexible is time Leslie Blohm QC, St John’s Chambers 
• The ease or unease of easements in development; Ewan Paton, Barrister, Guildhall Chambers 
• Injunctions and damages in lieu after Coventry v Lawrence; David Holland QC, Landmark Chambers 
• Property law: a case of boom & bust for the profession?; Calum MacLean, Lockton’s Professions 
• Land development – title insurance solutions; Martin Wilks, First Title 
• Remedies when developers infringe property rights; Session led by Tom Weekes and Toby Watkin, Landmark Chambers 
• Development agreements and practical problems; Session led by Joanne Wicks QC, Wilberforce Chambers
• A property developer’s trade secrets – case studies; Paul Addison, Managing Director, DevAssist 

Details:

- Download programme: BLS Property Conference 2014
- Venue: Osborne Clarke, 2 Temple Back East, Temple Quay, Bristol BS1 6EG
- Cost: £100 + VAT for BLS members / £150 + VAT for non-members
- Registration: Registration and refreshments will be served from 8.30am
- Starts: 9.15am
- Finishes: 4.30pm
- Accreditation: 5.5 CPD hours

Please make any booking requests direct to the conference organisers, Bristol Law Society by emailing events@bristollawsociety.com or calling 0117 945 8486.

Sponsored by:

Summer party at Poundbury proves a resounding success….

Independent developer C G Fry & Son held an open event at Poundbury which attracted nearly 30 guests.  The purpose of the summer event was to invite people to register their interest for the exciting new phase in the North East Quadrant. 

The Poundbury team decorated the sales office with bunting to give it a summery feel, serving guests with jugs of Pimm’s and fresh strawberries.  The event was organised in conjunction with Poundbury and Dorchester offices of Symonds & Sampson Estate Agents.

Peter Grout-Smith – Manager Symonds & Sampson – Poundbury Office / Sally Noakes – C G Fry & Son Sales / Stuart Phillips – Manager Symonds & Sampson – Dorchester Office 

Sue Findlay / Sally Noakes and Hilary Metcalf – C G Fry & Son Sales Team 

C G Fry & Son has been working with the Duchy of Cornwall on the prestigious Poundbury project since 1993.  Much of the North Eastern Quadrant is based on the urban character and green open spaces key to Poundbury.  Streets and pavement widths are a little wider, drawing inspiration from residential streets in central Dorchester as well as details using Dorset vernacular. 

Caroline Hill, Head of Sales and Marketing C G Fry &Son says: “We had a number of new people who registered their interest to be first in line to be kept informed of the new forthcoming development.  In addition the event attracted existing Poundbury residents who really enjoyed meeting their new neighbours.  It turned into quite a party and was great fun and well received by all the guests.”

To receive updates on the progress of the construction please visit the Poundbury sales team or pre-register your interest on-line: http://www.cgfry.co.uk/info/future+developments

Sales Office is open Monday to Friday 10am – 5pm

Saturday and Sunday 10am – 4pm. 

Tel: 01305 259600. E: poundburysales@cgfry.co.uk  

Somerset Life feature - C G Fry and Son

Click to enlarge 

INDEPENDENT CITY-CENTRE RESTAURANT AWARDED CERTIFICATE OF EXCELLENCE

An independent restaurant based in the city-centre is recognised as a top performing food and drink destination by globally recognised TripAdvisor; renowned as an unbiased holiday and restaurant review forum.  Lloyd’s Kitchen based in Catherine Street, has been awarded the ‘2014 TripAdvisor Certificate of Excellence’ following consistently excellent reviews direct from its customers.

 

This highly acclaimed award is bestowed to outstanding hospitality businesses that have received praise and recognition in reviews by TripAdvisor members.  To be eligible for this award, businesses must maintain an overall rating of four or higher, out of a scoring of five.  Lloyds Kitchen conveniently located near the Cathedral; attracts tourists, shoppers and local businesses alike. The friendly staff at this popular restaurant, pride themselves on the high level of customer service and attention to detail that they offer which has now been publicly recognised.

Bucking the trend in the current economic climate, dynamic restaurateur Lloyd Gardner (27) took over the former Binelli’s in November 2011.  A challenging three year period followed with Lloyd initially keeping the name for three months in order to gain an in-depth knowledge of the existing customer base, before deciding which direction to take the business forward.    He finally got his name over the door in spring 2012 when re-branded as ‘Lloyd’s Café & Bistro’.  A substantial investment was made in autumn last year, when the cafe was temporarily closed for a major refurbishment programme. Following the revamp ‘Lloyd’s Kitchen’, a 50 seater restaurant was created with a new contemporary décor and menu complemented by a compressive wine list and the restaurant is now open for dinner on Friday and Saturday evenings.

Lloyd Gardner, owner Lloyd’s Kitchen says “I had a vision of how I could take Binelli’s to the next level and it’s been a challenging but rewarding journey.  Opening Lloyd’s Kitchen last year was the start of an exciting era and winning this highly acclaimed ‘Certificate of Excellence’ is the ‘icing on the cake’. It’s a true testament to all the hard work of the team and is a real source of pride for all of us. I’d like to thank our guests who took the time to complete a review as there’s no greater seal of approval than being recognised by one’s customers. The accolade is a remarkable vote of confidence for our business and our continued commitment to excellence.”

www.lloydskitchen.co.uk

@Lloyds_Kitchen 

Bristol Law Society's Private Client Conference

Tuesday, 30th September 2014 9.30am - 5.00pm  Members of St John's Chambers' Wills, Trusts and Probate team will be speaking at Bristol Law Society's Private Client Conference at Clarke Willmott, alongside HHJ McCahill QC. The conference will be chaired by Anthony Fairweather of Clarke Willmott, and will present a wide range of speakers covering topical issues from legal and tax updates, through current planning ideas, and how to work with families in resolving their issues. Topics include: The Bristol Chancery Court HHJ McCahill QC Wills and capacity update Alex Troup, Barrister, St John’s Chambers Court of Protection, health and welfare: ‘Sex, Drugs and DOLS’ Jess Flanagan, Solicitor, Clarke Willmott Trustees' applications to court – what help can they expect? Tom Dumont, Barrister, Radcliffe Chambers Tax landscape heading towards the General Election Mike Warburton, Director Tax, Grant Thornton UK LLP Creating certainty in an uncertain world Mark Incledon and Sharon Critchlow, The Citimark Partnership Ltd Challenging Care Act decisions - public law principles for private client practitioners Belinda Schwehr, Care and Health Law Farms and estoppel claims – the new growth area Leslie Blohm QC, St John’s Chambers   Details: Download programme: BLS Private Client Conference 2014  Venue: Clarke Willmott, 1 Georges Square, Bath Street, Bristol BS1 6BA Cost: £100 + VAT for BLS members / £150 + VAT for non-members Registration: Registration and refreshments will be served from 9.00 am Starts: 9.30am Finishes: 5.00pm Accreditation: 6 CPD hours Please make any booking requests direct to the conference organisers, Bristol Law Society by emailing events@bristollawsociety.com or calling 0117 945 8486.  Sponsored by

Ladies Night @ Lloyd's Kitchen

www.lloydskitchen.co.uk 

@Lloyds_Kitchen 

Terms and Conditions 

Only valid when dining on a Friday evening 

Free drinks upto 8pm only 

Only on selected beverages 

This offer applies only when a 2 course meal is ordered per person

Only 1 drink to be served at any one time

Offer applies to Ladies only 

This offer can be withdrawn without prior notice at anytime 

THE SKY’S THE LIMIT FOR LOCAL PROFESSIONAL

A local Account Senior with Haines Watts North Devon LLP tumbled 15,000 feet in a sky-dive tandem to raise much needed funds for North Devon Hospice.   Katherine Broad who works for Chartered Accountants Haines Watts North Devon LLP based in Bideford, jumped in memory of her Grandmother, Gwen Dymond, who sadly passed away in January after battling cancer for many years.  Haines Watts supported Katherine by contributing towards the cost of jump.

Katherine Broad - Haines Watts North Devon LLP and her cousin Tori Kiff 

Katherine’s cousin Tori Kiff also did a sky-dive on the same day and together they raised just under £1,000 in memory of their much-loved Gran.

Katherine Broad, Account Senior - Haines Watts North Devon says: “The North Devon Hospice was most supportive, not only to my Grandmother but also our family during such a difficult time. My cousin, Tori and I decided we wanted to do something to raise money for the hospice and the sky-dive was something my Gran would have thought was a great idea.  I am so grateful also to Haines Watts for contributing monies towards the jump so that I could raise more funds in sponsorship.”

Stephen Roberts, Chief Executive of North Devon Hospice, praised both Katherine’s and Tori’s bravery and amazing fundraising abilities saying, “We are so grateful for what Katherine and Tori have done. Leaping from a plane at 15,000 ft.  Because Katherine and Tori’s Grandmother was cared for by us, they will have seen first-hand the difference that North Devon Hospice makes to local people every single day.  £1,000 helps us provide our free care and support to those affected by cancer and other life-limiting illnesses. This amount would help fund our new Hospice to Home service which provides care and support in patients’ own homes around the clock when symptoms become more severe. This allows more people to remain at home and can avoid an unnecessary and distressing admission to hospital. We can’t thank Katherine, Tori and Haines Watts North Devon enough for supporting North Devon Hospice in this way.” 

www.hwca.com/accountants-north-devon

@HW_North_Devon 

www.northdevonhospice.org.uk

@NDevonHospice 

Business Network South West At Bovey Castle

Business Network South West was held at Bovey Castle on 2nd July 2014 where 75 business professionals attended the lunch and the seminar was taken by magician, Mark Leveridge - the Professional Strolling magician! All photos taken by Jonathon Bosley.

Chris Dinsdale – Fitzpro and Christopher Catt – The Life Coach Station

Alex Wren – Bitpod Ltd, Richard Hussey – RSH Coptwriting and Phil Roberts – St Loye’s Foundation

Jane Franks – Eden Hotel Collection and Richard (Mr Handshake) Carpenter – Enterprise Assist

Claire Robinson and Louise Pen-Collings – Extra Help Limited and Sally Burn-Jones – Burn Jones Wealth Management

Nigel Wilknison – WNW Deign, Trina Curtis – Codestorm and Jay Milling – Affordable Websites (UK) Ltd

Sean Humby – Business Network (SW) Ltd and Eric Irish – Ronnie Sunshines

Gavin Jones – Elixel and Rich Denham – Fitzpro

Faye Small – Cobalt Communications and Nicky Dunn – Mego Employment Ltd

Jim Taylor and Ian Dunstan - Cobalt Communications

Robert Prior and John Hind – Compass Resolution

Independent, city centre restaurant awarded TripAdvisor 'Certificate of Excellence'

AWARDED 2014 TRIPADVISOR CERTIFICATE OF EXCELLENCE

Recognised as a Top Performing Restaurant as Reviewed by You oh Customers

Winning the TripAdvisor Certificate of Excellence is a true source of pride for the entire team at Lloyd's Kitchen and we’d like to thank all of our guests who took the time to complete a review on TripAdvisor.

There is no greater seal of approval than being recognised by one’s customers. With the TripAdvisor Certificate of Excellence based on customer reviews, theaccolade is a remarkable vote of confidence to our business and our continued commitment to excellence.”

Thank you

Lloyd Gardner

www.lloydskitchen.co.uk 

@Lloyds_Kitchen 

How to become a NISA Millionaire starting now

Investing your Isa in equities could make you a millionaire, figures from wealth manager Brewin Dolphin has shown. The wealth manager has revealed that it already has 15 ‘Isa millionaire’ clients, whose Isa pots have broken the magic million pound barrier. A further 40 have assets in ISAs of well over £750,000.

These investors have two things in common – they invested directly in equities and took some risks, but Brewin has calculated that even ISA savers who invest the full ISA allowance conservatively every year, could now reach the million pound mark in just 27 years.

Today the ISA allowance increases to £15,000 and by our calculations (in table below) you will be able to reach the £1million mark three years faster than it would have taken before this year’s Budget.

With conservative assumptions on growth and income (5% combined) and inflation (2.5%), by 2040 you would see a total fund of £1,071,394 representing a gain of £491,194 on a total investment of £580,200. The total tax saving over this period would be an impressive £318,847 and a £1 million+ tax free fund for life. (See details below)

Guy Foster, Head of Portfolio Strategy said, “Saving in a tax efficient wrapper remains one of the most compelling ways of realising your long term financial ambitions. During its life, the WMA Balanced Total Return index has returned compound annual growth of 8.5% - despite the so-called lost decade for equities after 2000. Even now, with the FTSE paying seven times as much income as bank deposits, we have assumed a more conservative 5% return and still an investor using their full ISA allowance each year could be a millionaire in 27 years with no tax to pay on their gains. The importance of compounding, and the benefits of tax efficient saving, can deliver life-changing wealth to those who seize the opportunity.”

Tim Walker, head of Brewin Dolphin Exeter said, “ISAs and Peps have been such a valuable savings medium over the past 27 years and we advise clients not to, whenever possible, miss a chance to use their allowance, either alone or as a tax-free zone within their portfolio. The total investable amount in ISAs and their predecessors PEPs over the last 27 years now stands at £200,560. And now with the increased allowance anyone could be an NISA millionaire within the next 27 years – starting form today.”

The total value of all Brewin Dolphin ISA portfolios is over £5 billion.

Year	Annual Allowance Inflation Adjusted	Annual WMA Balanced Performance	Rolling ISA Pot With Long Run Performance Assumption of 5%	CGT Annual Allowance Inflation Adjusted
01/07/2014	£15,000	5.00	£15,000	£11,000
06/04/2015	£15,375	5.00	£31,125	£11,100
06/04/2016	£15,759	5.00	£48,441	£11,200
06/04/2017	£16,153	5.00	£67,016	£11,480
06/04/2018	£16,557	5.00	£86,924	£11,767
06/04/2019	£16,971	5.00	£108,241	£12,061
06/04/2020	£17,395	5.00	£131,049	£12,363
06/04/2021	£17,830	5.00	£155,432	£12,672
06/04/2022	£18,276	5.00	£181,479	£12,989
06/04/2023	£18,733	5.00	£209,286	£13,313
06/04/2024	£19,201	5.00	£238,952	£13,646
06/04/2025	£19,681	5.00	£270,581	£13,987
06/04/2026	£20,173	5.00	£304,283	£14,337
06/04/2027	£20,678	5.00	£340,175	£14,695
06/04/2028	£21,195	5.00	£378,378	£15,063
06/04/2029	£21,724	5.00	£419,021	£15,439
06/04/2030	£22,268	5.00	£462,240	£15,825
06/04/2031	£22,824	5.00	£508,176	£16,221
06/04/2032	£23,395	5.00	£556,980	£16,626
06/04/2033	£23,980	5.00	£608,809	£17,042
06/04/2034	£24,579	5.00	£663,828	£17,468
06/04/2035	£25,194	5.00	£722,214	£17,905
06/04/2036	£25,824	5.00	£784,148	£18,353
06/04/2037	£26,469	5.00	£849,824	£18,811
06/04/2038	£27,131	5.00	£919,447	£19,282
06/04/2039	£27,809	5.00	£993,228	£19,764
06/04/2040	£28,504	5.00	£1,071,394	£20,258
Source: Brewin Dolphin
Inflation Assumption				2.5%
Total Invested				£580,200
Total Gain				£491,194
Total Capital Gain assuming 60% of growth is gain				£294,716
Gains Tax Saving over 27 yrs (assuming complete disposal at period end)				£274,459
Total Dividend Income assuming 40% of growth is income				£196,478
Dividend Income Tax Saving (for higher rate tax payers)				£44,207
Total Tax Saving				£318,666
		http://www.brewin.co.uk/