Based in our Carlisle office, Neil works in close collaboration with Quilter Cheviot Investment Managers in Edinburgh and Glasgow. For 4 years, Neil has shared his Financial Planning expertise with his clients, helping them fully grasp their investment aspirations and ensuring they understand both opportunities and risks.
Keeping abreast
It’s been one busy month over in my corner of the UK and, I’d imagine for Financial Planners across Quilter Cheviot alike. The bulk of the rush has been on training – after all, with so much evolving as you’ve seen in this edition of Perspectives, keeping on top of it takes a monumental effort from all involved.
But it hasn’t been all spreadsheets and seminars. I got to work with a fantastic client recently (who has been kind enough to allow us to share her story), with a dilemma that is particularly interesting. Referred to me by an existing client, she worked for a High Street Bank for a quarter of a century and got handed a redundancy package that was too good to refuse.
A client’s dilemma
Unfortunately, few things are ever that simple. There was little in the way of support to help her figure out the best way to take her pension benefits. Her first thought? Similar to many; grab the whole severance package, pay the tax, and opt for the pension plan that provided what appeared to be the best options.
We sat down, crunched the numbers, looked at her retirement income needs, and even discussed the idea of taking some of the redundancy funds in the form of an employer pension contribution.
Ultimately, we realised that the conventional paths didn’t lead to the most advantageous outcomes, so we looked a little deeper. And when we did, we found a hidden gem. There seemed to be a gap in the pension options available, as outlined in her benefit statement.
We were able to turn this to the client’s advantage to achieve the greatest value for both her and her family’s future. Without specialist help, my client would have been none the wiser.
Add this to the tax savings associated with directing some of the redundancy package into the pension as an employer contribution, and the additional financial value added to the client and her family is comfortably over six-figures (and I’m being conservative!).
It’s a simple mistake that I unfortunately see time and time again. Through no fault their own, clients can easily select an option that, on the face of it, seems the most sensible. In this case, that could have proven to be costly.
The clock was also ticking. We had to move fast due to redundancy timelines and additional complications due to the pension scheme. But that’s all in a day’s work for a Quilter Cheviot Financial Planner.
Stories like these aren’t rare, and they highlight why having a Financial Planner in your corner is crucial when faced with big money moves. So, if you or someone you know is in a similar boat, don’t hesitate to reach out for some expert guidance.
Out of work
Away from the everyday, it was a pleasure to join my local CII/PFS Institute – where I am Deputy President – for an annual charity dinner with ex-Scottish rugby captain John Barclay, who provided a fantastic speech and auction. All in all, we raised over £3,000 for research into Motor Neurone Disease. The perfect way to cap off a busy but rewarding month.