Many individuals have a financial adviser who looks after their investments, but in this increasingly complex world, we all want the peace of mind that the entirety of our financial affairs are being looked after. This extends beyond financial advice and needs to incorporate a comprehensive approach to Wealth management. At Kreston Reeves, our Wealth management team combines the skills of financial planning, tax advice and legal services into a single service, with a dedicated team who ensure that all aspects of your financial affairs are kept up to date and in order.
We find that our clients prefer to have a single point of contact with all of their finances dealt with cohesively in one place. With regular ongoing meetings and discussions, this enables us to work with you on an ongoing basis to try to ensure that your financial objectives are achieved in the most tax efficient way.
As we all know, our needs and objectives change as we go through life and therefore it is critical to review your affairs regularly and to have an adviser with whom you are comfortable to discuss what can be very personal matters.
Wealth management is not only about investing your funds wisely, but ensuring that your personal and financial goals can be achieved wherever possible with the right timing.
Your wealth planning will change as the years go by and this can be illustrated by briefly considering some of the major milestones that occur for most of us at different times in our life.
In the early years, this is often focussed around relationships/marriage, buying your first house and starting a family. Many people then start in business and need advice and guidance to ensure that their tax affairs are kept in order.
As a business grows, one of the key factors is tax-efficient extraction of funds from that business to meet your personal needs and aspirations. It is critical even at an early stage to ensure that you have up to date wills to ensure that your hard earned wealth passes to your chosen beneficiaries in the way that you wish. It often comes as a complete surprise to many that if you die without a will and you are married, that your assets may well not pass directly to your spouse as you would have chosen.
During your business/working life, we all want to pay the correct amount of tax and generally minimise this wherever legitimately possible. Once again, starting the process of pension planning at an early stage is very beneficial and doesn’t have to be too costly if planned properly. It may be that you have to fund school fees for your children or they are going to university and you want to assist with those costs. Careful planning in advance can make this much less painful and more tax efficient.
If you own your own business, one of the most important milestones is likely to be the sale or succession of that business if it is to remain within the family. Ensuring that this is planned well in advance to maximise value and minimise tax can make a huge difference to the outturn. At this stage in life, the focus is likely to be on retirement planning to ensure that you have sufficient income and gains to achieve your wishes. Many of our clients, particularly in recent years, wish to assist their adult children with funding their house purchase but at the same time have concerns that if their children’s relationship(s) were to fail, your hard earned capital could pass into the wrong hands. Many of these issues can be overcome and protected with the right approach.
Planning your finances during retirement is a key part of wealth management. Ensuring that you have sufficient income and assets to do what you want, but at the same time thinking carefully about the longer term inheritance tax position. We would all generally prefer that our wealth passes to those we choose rather than pay tax that was not necessary due to lack of planning. At the same time, as we are all generally living longer and a major concern is the possible cost of long-term care. Getting the balance right to minimise tax and helping your loved ones whilst ensuring that you are financially secure in retirement is a difficult balance. Ensuring that your wills are regularly reviewed to make them tax efficient and that your wishes are met is something that should be reviewed on an ongoing basis. It is also important that you consider whether you need a Lasting Power of Attorney (financial and/or medical) so that in the unfortunate event that you are unable to manage your affairs, you have entrusted that right to the person(s) of your choice, both in respect of your finances and your health.
Ultimately, you will want to know that on death, your family/executors have someone to turn to who understands your affairs and can deal with probate and assist with the ongoing financial matters quickly and efficiently.
Our aim is to work with you and your family over the long-tem to build wealth in your personal, family and business lives. To discuss how we can help you with your wealth management needs please contact your usual Kreston Reeves adviser here or Bryan Elkins here or on +44 (0)330 124 1399.
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