Cover Feature
Later Life Planning...
where to start By James Cole, Managing Director, Talis IFA In many respects, financial planning in ‘later life’ is no different to other life stages – think about what you want to achieve (your goals and aspirations), then consider what financial resources you have at your disposal to make it happen. Mitigate any risks that might derail your plans along the way and make sure that you’re doing all of this in the most tax-efficient way possible!
Simple, right?
W
ell, yes and no. If you’re reading this publication, you already know that a multitude of external factors will influence your decisionmaking let alone the action you take as a result. In later life, there are two specific factors that we will address in this article.
First, increasing age inevitably means more help which can look like a stay in a care home, and second, the distribution of assets that we leave behind starts to feel much more real to us and our loved ones. In truth, none of us knows when our time on this planet is up. The risk of accident or ill health could affect any of us. However, the longer we live, the greater the reality that it won’t be forever. Ironically the two factors mentioned above actually compete for our attention; greater wealth means you can afford to pay for the help you might require which in turn can mean a smaller legacy to leave behind. Each of us feels differently about leaving wealth to future generations with the likes of Bill Gates and Warren Buffett famously declaring that most of their fortunes will be left to charitable foundations. We also attach sentimental value to certain assets, elevating the family home above cash in the bank, for example.
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