Being aware of a few key financial facts can help ensure we all make the best use of our money and tax allowances.
How much you can save into your ISA
The ISA allowance for 2017–18 is £20,000. Don’t pass up this important opportunity to save or invest tax-efficiently. We can help you choose the right ISA for your needs.
Your pension contribution limits
For the tax year 2017–18 you can get tax relief on pension contributions of up to 100% of your earnings or a £40,000 annual allowance, whichever is lower. (However, if in this tax year you start to take money from your defined contribution pension, then the annual allowance may reduce to £10,000 The allowance may also taper from £40,000 down to £10,000 if your ‘adjusted income’ exceeds £150,000). The pension lifetime allowance is now £1m.
How much your valuables are worth
Soaring gold and diamond prices could mean that your jewellery is worth a lot more than it was. If it’s been a while since it was valued, you may need to get a new valuation done for insurance purposes. Don’t risk being under-insured.
What your inheritance tax allowances are
Each financial year you can make gifts of up to £3,000 (in total, not per recipient) and gifts of £250 per other recipient. Each parent of a bride or groom can give up to £5,000; grandparents or other relatives can give up to £2,500 and any well-wisher can give £1,000. Gifts can also be made from your surplus income, although conditions apply.
Where all your pensions are
If you’ve moved jobs a few times, the chances are you may have paid into several pensions. It’s important to know what your entitlements are; we can advise you whether you’d be better off transferring them into one scheme to cut down on administration and charges.