The cost of living longer

British expatriates also need to factor in exchange rate risk. If you receive income in pounds while spending euros daily, depending on currency movements you may find your money does not go as far.

By Kelman Chambers, Partner, Blevins Franks

spending, and €9,030 in 20 years. Tour capital and income would need to grow by the same amount to maintain the same standard of living.

Making your savings and investments last

Many retirees favour safer investments like bank deposits in their later years. But with a potential 30

By following some key investment principles and taking specialist guidance you can invest your capital to give it the opportunity to keep pace with inflation, while keeping risk to a comfortable level. Start by establishing your risk profile then carefully build a well-diversified portfolio to suit your circumstances, needs and objectives.

A taxing problem – not just for governments

Rising life expectancy is expensive for governments. The higher the proportion of older people, the greater the costs of services like state pensions and healthcare – and with fewer taxpayers to fund it.

creases to finance these escalating expenses.

Higher taxation can be a threat to your financial security in retirement as it also erodes income. Personalised tax planning is vital to make use of available opportunities so you do not pay more tax than necessary.

With many arrangements you can combine your tax and investment planning in one exercise, allowing you to tackle the twin threats of tax and inflation.

Getting the most from your pensions

Pensions are often the key to financial security in retirement. Carefully weigh the pros and cons of all your options. Consider your income needs, investment options and risk, currency risk, what happens on death, and – importantly – the tax implications in Spain. There may be ways to make pen- scams and establish the best approach for your objectives and circumstances.

Leaving wealth behind Estate planning is complex –more so for expatriates who have to consider the inheritance regime of two countries and how they interact, and navigate foreign inheritance taxes and succession laws. Spain, for example, imposes forced heirship. If your family includes children from previous marriages, be particularly careful to ensure everyone benefits in accordance with your wishes.

Whatever your stage of life, good financial planning can help you afford the lifestyle you want, for as long as you need, so you can focus on enjoying your retirement in Spain.

Keep up to date on the financial issues that may affect you on the Blevins Franks news page at