Financial advice

The Importance of Pensions

Pensions are often a couple’s most valuable assets. Jeremy Woodruff looks at the issues involved and how a specially qualifi ed Pensions on Divorce Expert can help resolve them.

For many couples, the combined value of their pension benefi ts can often be worth as much, if not more, than the family home. Resolving how to take these into account in a divorce settlement poses many questions.

I fi nd when talking to clients who are starting the divorce process that dividing their pensions can be an emotive subject. Some people are especially defensive about their pensions, but Family Courts will expect to see them valued and may insist that benefi ts are shared where there is a disparity in the pension entitlements that each partner has accrued. This is particularly the case for couples who have been in a long marriage or where one partner has taken charge of raising the family, either not working or working part-time for a number of years.

Details of pension savings must be provided in the disclosure process and must be accounted for in the eventual agreement between the couple. Valuing a pension can be challenging. Schemes that are built up using contributions from you and perhaps your employer will have a capital value, but if your pension benefi ts have been built up in a workplace scheme where benefi ts are based on your salary and your length of service (known as a defi ned benefi t scheme), the valuation is more complex.

When it comes to deciding how to split pension assets fairly, expert advice can be essential. A Pensions on Divorce Expert (known as a PODE) is a specially trained fi nancial adviser who can be invaluable in supporting you if you are in the process of separating fi nances that include pensions. The adviser will help you get the necessary valuations and ensure you understand the implications of the different solutions that may be possible.

The value of your pension is often not purely dependent on a simple cash equivalent fi gure and a fair outcome is not always to simply split combined

assets down the middle. Divorce courts often look to help couples achieve equality of income in retirement, for example, and that may vary according to the type of pension each partner holds, their age, tax status, income needs and any additional benefi ts that may form part of the pension.

If you and your partner agree that pension assets should be shared – or if a Family Court decrees that it should happen – it will be done via a pension sharing order. This will normally involve one partner passing pension entitlements to the other: pensions will usually only be shared as pensions, not as cash, so won’t be accessible until the individual reaches the minimum retirement age, which is currently age 55. Once you reach the minimum retirement age, you may be able to withdraw cash from the pension fund, but you should get advice at this stage as withdrawals from the fund may have tax implications and affect your future retirement planning.

If the pension to be shared is a defi ned benefi t scheme from a workplace pension, you may be made a sub-member of the scheme and only be able to take it as pension income, rather than taking cash withdrawals.

Pension sharing may involve opening

a new pension scheme for you or your partner and advice will help you ensure that the new scheme is suitable for you. In some cases, pension sharing may be used to balance the assets of the separating couple, such as using the pension assets of one partner to be offset against the value of the family home.

The role of pensions in a fi nancial settlement between separating partners is a critical one and should not be overlooked. Advice from a PODE can ensure the outcome is fair to both parties.

DIVORCESETTLEMENTS in

Jeremy Woodruff

Chartered Financial Planner www.smith-pinching.co.uk

not purely dependent on a simple cash equivalent fi gure and a fair outcome is not always to simply split combined

The role of pensions in a fi nancial settlement between separating partners is a critical one and should not be overlooked.

Any opinions expressed in this article do not constitute advice.

Smith & Pinching are Chartered Financial Planners. If you would like a no-cost exploratory review to discuss your investment planning with an adviser, call us today on 01603 789966 or email enquiries@smith-pinching.co.uk

Inspiring Women Varsity Hotel & Spa

Cambridge

Kate Morfoot, leading travel writer and founder of www.LoveToEatToTravel.com checks in to the Varsity Hotel and Spa Cambridge, the hotel in the heart of the city with the best views in town.

The Varsity Hotel and Spa in Cambridge is a perfect getaway situated right in the heart of everything that’s delightful about the historic city. It’s been ages since we last visited Cambridge with friends before lockdown. There was a real buzz about the city because this was the fi rst day back for excited Cambridge students about to start their new year, and because the sun was out for the fi rst time in weeks.

Launched in 2011, the new-build hotel has plush modern rooms and a buzzy sixth fl oor restaurant with a fabulous birds’ eye view of the city. The Varsity sits amidst the city’s bustling Quayside area and, backing onto the picturesque River Cam, it is located in one of the most attractive spots in Cambridge. The top two fl oors of the hotel feature fl oor-to-ceiling windows, allowing guests breath-taking views of the surrounding area from the comfort of their room, including St John’s College spires, the lush green of Midsummer Common or the punts gliding down the Cam. It was a scorching 28 degrees on a September afternoon when we checked in. The rooftop bar adorned with colourful fl owerpots and trees and a fabulous view of St John’s College spires and many other famous colleges, was a welcome respite, before we tackled all that awaited outside the calm of the hotel. Here you will fi nd an impressive list of cocktails and mocktails, which could tempt you to leave the sightseeing behind.

We stayed in a Fellows king room with a four poster king size comfortable bed. This luxurious and spacious bedroom had fl oor-to-ceiling windows with a balcony and sofas and tables outside for drinks and nibbles, enabling us to make the most of the impressive scenic views over the city and the nearby park. There was a large walk-in shower with my favourite Elemis products to use. Despite being in the centre of town, the hotel is perfectly located off the main street, making it incredibly quiet, apart from the odd rattle of a cyclist’s bike or ring of a bell!

Taking advantage of the weather and the handy location next to the river, we headed for the punts at nearby Mill Lane.

Although I’ve done this before, I cannot resist a meander down the River Cam, it’s wonderful to see the historic colleges from the water. This time, I opted for a chauffeured punt as I had discovered that punting was not my forte on my last attempt.

Equally, Cambridge is a wonderful place to walk, discovering some of the 31 colleges of the University of Cambridge, many chapels and churches. You can literally breathe its past in the present. We enjoyed shopping in interesting lanes, fi nding independent boutiques and wandering around the famous market.

Mixed in with trendy cafes, bistros and high-end eateries, it makes for a fun adventure of retail therapy and grazing.

The Glassworks Health Club is located in the adjoining building and provides a cutting-edge health club with state-ofthe-art gym equipment and yoga, pilates, aerobics and spinning classes on site. All hotel guests receive complimentary membership to The Glassworks during their stay.

The Spa is comprised of a beautiful Jacuzzi that overlooks the river, a sauna and steam room and eight private rooms offering treatments from facials and massage to Jessica nail treatments and Aveda hairdressing. We enjoyed the use of the facilities. While bubbling away in the Jacuzzi that overlooks the river, punts glided by the very large window. We weren’t sure whether it was tinted oneway glass, but hoped it was.

The Varsity hotel’s SIX River Bar Steakhouse & Grill is located on the sixth fl oor, on the Quayside, with magnifi cent views of the river. Head Chef Angus Martin locally sources much of his menu’s ingredients. He is committed to serving the most tender, full fl avoured steak, only using the fi nest prime beef, aged for 28 days. My husband chose crispy whitebait to start, then he enjoyed a delicious 8oz fi llet of beef steak from the grill menu. I chose the burrata, tomato caponata with wild rocket on chargrilled toast, followed by chargrilled leg of Saffron Walden lamb, with braised cabbage and rich gravy from the wood stone oven menu.

Along with fabulous service, the food tasted good and despite the restaurant being incredibly busy, we didn’t have to wait long before each course was served.

There’s a wide choice of food, guests can enjoy fresh fi sh, great vegetarian and vegan dishes, pizzas and homemade puddings. To match the varied food menu, the wine list, gin and cocktail lists are impressive!

This hotel is perfect for getting truly immersed in the culture and charm of Cambridge life and is the ideal base to enjoy good food and drinks, sight-see, punt, shop and relax.

How to book

Rooms can be booked from £199 per room per night. The Varsity Hotel and Spa, On the River, Quayside, Cambridge. CB5 8AQ. For £25 per night there is valet parking. Just hand over your keys and they need 30 minutes notice to return your vehicle. The Varsity Hotel and Spa, On the River, Quayside, Cambridge. CB5 8AQ www.thevarsityhotel.co.uk

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ALL-NEW FORD KUGA PLUG-IN HYBRID GO FROM PETROL TO ELECTRIC WITH ONE TOUCH. UP TO 35 MILES OF ELECTRIC DRIVING RANGE.* ALL-NEW FORD KUGA PLUG-IN HYBRID GO FROM PETROL TO ELECTRIC WITH ONE TOUCH. UP TO 35 MILES OF ELECTRIC DRIVING RANGE.*

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CONTACT US AT A W & D HAMMOND - HALESWORTH CONTACT US AT A W & D HAMMOND - HALESWORTH

A W & D Hammond Norwich Road Halesworth, IP19 8BU Tel. 01986 244072 A W & D Hammond Norwich Road Halesworth, IP19 8BU Tel. 01986 244072 www.hammondgroup.co.uk www.hammondgroup.co.ukModel shown is an All New Kuga ST-Line X Edition PHEV 2.5 225PS Auto Petrol. Weighted Fuel economy mpg(l/100km) (Combined): 201.8 (1.4) Weighted combined electricity consumption. Model shown is an All New Kuga ST-Line X Edition PHEV 2.5 225PS Auto Petrol. Weighted Fuel economy mpg(l/100km) (Combined): 201.8 (1.4) Weighted combined electricity consumption. 26.88kWh per 100 miles. Weighted CO2 emissions: 32g/km. Equivalent all-electric range: 35 miles. 26.88kWh per 100 miles. Weighted CO2 emissions: 32g/km. Equivalent all-electric range: 35 miles. These figures were obtained using a combination of battery power and fuel. The Kuga PHEV is a plug-in hybrid vehicle requiring mains electricity for charging Figures shown are for comparability purposes; only compare fuel consumption and CO2 figures with other cars tested to the same technical procedures. These figures may not reflect real life driving results, which will depend upon a number of factors including the accessories fitted, variations in weather, driving styles and vehicle load. These figures were obtained using a combination of battery power and fuel. The Kuga PHEV is a plug-in hybrid vehicle requiring mains electricity for charging Figures shown are for comparability purposes; only compare fuel consumption and CO2 figures with other cars tested to the same technical procedures. These figures may not reflect real life driving results, which will depend upon a number of factors including the accessories fitted, variations in weather, driving styles and vehicle load.