sm128 - Flipbook - Page 7
Retirement
The primary appeal of a SIPP is its wide range of investment
options. Investors can choose from individual stocks and shares,
investment trusts, corporate bonds, and even commercial property.
This flexibility enables you to build a highly diversified portfolio
aligned with your market outlook.
U
nlike standard personal pensions,
the total investment to £100. Higher and additional
in their retirement planning. However, because
where investment decisions are
rate taxpayers can claim back even more through
pension rules change and markets can be complex,
typically made by a third-party fund
their annual self-assessment tax returns, making it a
a self-managed approach is not always the right
manager, a SIPP allows you to choose
highly tax-efficient way to save for the future.
choice for every investor. Seeking professional
from a wide range of permitted investments offered
Furthermore, the investments held within your
guidance helps you make the most of your annual
by the provider. This flexibility can help you shape
SIPP grow entirely free of UK Capital Gains Tax
allowances while protecting your hard-earned
your pension portfolio to match your financial
and Income Tax. Once you reach the qualifying
wealth. t
objectives and attitude to risk, but it also places
retirement age, you can usually take up to 25% of
greater responsibility on you to monitor and manage
your total pension pot as a tax-free lump sum (within
those investments.
allowable limits), providing significant financial
flexibility when you retire.
Taking control of your retirement funds
Ready to plan
your next step?
If you require further information on how a
The primary appeal of a SIPP is its wide range of
Weighing up the responsibilities
Self-Invested Personal Pension could suit your
investment options. Investors can choose from
While the benefits are clear, managing your own
circumstances, please contact us. We can
individual stocks and shares, investment trusts,
pension requires time, market knowledge and
arrange a review and help you take the next
corporate bonds and even commercial property.
dedication. Because you make the underlying
step towards the retirement you deserve.
This flexibility enables you to build a highly diversified
investment decisions, you also bear the risk. The
portfolio aligned with your market outlook.
value of investments can fall as well as rise, meaning
Alongside this freedom comes a generous
you might get back less than you originally invested.
framework of government tax incentives. When
It is also vital to keep a close eye on the
you pay into a SIPP, you receive tax relief on your
administrative costs of running a SIPP. We can
contributions, which effectively boosts the size of your
provide professional advice to help you navigate
retirement pot without any extra effort on your part.
these complexities and make informed decisions
about your pension investments.
Understanding the tax advantages
Basic rate taxpayers currently receive a 20%
Securing your financial future
government top-up. This means that if you
If appropriate, a SIPP can be a very effective wealth-
contribute £80, the government adds £20, bringing
building tool for those willing to take an active role
This article does not constitute tax, legal or financial
advice and should not be relied upon as such. For
guidance, seek professional advice. A pension is a longterm investment not normally accessible until age 55 (57
from April 2028, unless the plan has a protected pension
age). The value of your investments (and any income
from them) can go down as well as up, which would
affect the level of pension benefits available. Investments
can fall as well as rise in value, and you may receive back
less than you invest.
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