The 55 year old decision

Published: 14/10/2020 By Martin Card

Hitting age 55 opens doors in the financial planning world. At present it means you can access your pension and, typically, it is the minimum age at which you will be considered for equity release.

Since the introduction of pension flexibility, many people see their pension as their first port of call to release a lump sum for many different reasons including paying of an interest only mortgage at or near retirement age. But is that the right thing to do?

The answer to this question is inevitably different for everyone as our circumstances differ. However, looking at the bigger picture can sometimes show that perhaps using an equity release or lifetime mortgage product could be a better alternative. This decision is not to be taken lightly. However, using equity release can be favourable to some as it can help with inheritance tax planning. This, coupled with the fact that death benefits from a pension are typically outside of your estate for inheritance tax purposes, can unexpectedly give a double saving.

Financial planning should always be about looking at the bigger picture and not assuming there is a one size fits all solution. turpin barker armstrong would welcome the opportunity to discuss with you your needs and objectives and prepare a plan to try and meet them all.

Give us a call to book in a free initial appointment - call 020 8661 7878 or email 

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