Establishing retirement income

The problem

Andrew & Caroline wanted to get some financial clarity and find out whether they had enough wealth to be able to stop working

Andrew & Caroline had reached the point in their lives that they wanted to gain some financial clarity. Approaching 60 and having worked in the same organisation for 40 years Andrew, was particularly keen to stop working.

They were aware of others who died shortly after retiring and so didn’t want to miss the opportunity to enjoy the things that working life prevented.

Additionally, whilst their children were financially independent on a day to day basis they wanted to be able to provide them with money for house deposits.

Ultimately, they wanted to know they would be able to maintain their lifestyles whilst being able to help their children out in their lifetime and leave a legacy on their death.

The process

I started by taking the time to understand what was most important to Andrew & Caroline so that we could agree on priorities and timeframes. This included whether Andrew would retire in full or work part-time for a period.

I then reviewed their current and expected future financial position so that we could determine if there was likely to be any shortfall in their wealth that would prevent from them achieving their priorities. This included looking at various ‘What if?’ scenarios so that alternative options and worst-case scenarios could be considered.

Andrew & Caroline had a mix of assets that were included in the planning and I was also able to provide an unbiased, independent assessment of their ongoing appropriateness.

Once the financial review and forecasting were completed I provided recommendations for action which included how they could reduce unnecessary risks, minimise tax and invest Andrew’s pension lump sum to meet long-term priorities.

The outcome

The financial planning process enabled Andrew & Caroline to see that their retirement lifestyle was achievable even allowing for gifts being made to their children.

It gave them the confidence to make key decisions and the peace of mind that they can live their ideal retirement.

The specific financial advice meant that their money was being invested tax efficiently, at low-cost and in a way that was consistent with their willingness to be exposed to investment risk.

Andrew & Caroline's response

Andrew has helped us get clarity on our financial position at a time in our lives when it was important that we made the right decisions. We are confident that we will be able to live our ideal lifestyle and have the freedom and options available to us that we didn’t have whilst working.

Andrew took the time to understand us and our priorities and to explain the important elements of the planning process and recommendations. As a result, we have made decisions that have been well thought through and reasoned.

Also, Neligan Financial’s consultative approach meant we were confident that we were being advised based upon what was best for us and not them. We never felt pressured into investing in products that weren’t appropriate for us.

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