case studies

Divorcee

Ms Client aged 56. Self Employed. Divorced. 1 grown up child.

Background - Home £600,000 Capital assets £866,000 Income £20k pa S/E

Challenges

1. Wants to retire at age 58
2. large unwieldy investment portfolio
3. Onerous personal administration
4. Concerned regarding Inheritance Tax (IHT) situation
5. No idea of outgoings

What we did

1. created lifetime cash flow plan outlining what was necessary to live on and what was excess cash
2. Consolidated investments and cash Accounts in preparation for income to be taken
3. Arranged Trusts and protection for IHT and income purposes

The Results

1. Increased personal income (tax efficient) enabling client to retire at age 58
2. Income generated in excess of required in order to allow for tax efficient ‘gifting’
3. Reduced potential Inheritance Tax liability by 50% from day one
4. Simplified client personal administration