In one of my blog articles last month I looked at the issue of financial planning for your parents, and how you can help them manage their finances. In that article I referenced estate planning, and how effective planning can help protect both their assets and you. Given the breadth of the subject, I promised that I’d devote an entire article to it. So, here are the key things you need to know about estate planning for your parents. The importance of effective estate planning It’s certainly well worth the time and effort in ensuring your parent’s wealth is managed effectively, particularly from an estate planning perspective. In 2019/20, more than £5.2 billion was paid in Inheritance Tax (IHT). Although... Read More

In 1981 an American sociologist named Dorothy Miller coined the expression “sandwich generation”. This refers to the increasing number of people who are financially supporting – to some extent – their elderly parents as well as their own children. The increase in the size of the “sandwich generation” in the past forty years has been driven by several factors, including medical advances that have increased longevity, and couples having children later in life. In a previous article I looked at how financial planning can give your children the best start in life and to help secure their financial future. Now, it’s time to look at the other slice of bread in the “sandwich” – financial planning for your parents. If... Read More

A subject that often comes up in client meetings is financial planning for children. Understandably, any parent will want their child, or children, to be as secure as possible in the future, and to give them the best possible life chances. As with most financial issues, the key advice I tend to give is that the earlier you start planning for your children, the better. There are various ways of saving for them, and additional ways you can plan your own finances to ensure their future. Here are seven steps to help plan your children’s financial future. Clearly this is a high-level overview. There’s no such thing as a “one size fits all” approach to financial planning for children, but... Read More

Mistakes happen. We’re all human, and human error is natural. Maybe your attention wanders or you forget you’re supposed to press button B rather than button A. My view is that you take it on the chin and make sure you avoid making such a mistake again. I’m probably not quite as philosophical when it comes to financial mistakes – especially easily avoidable ones. Simple mistakes that cost my clients money, and that wouldn’t have happened with some straightforward planning, can be a frustration! Take your pension fund, for example. You’ve done all the hard work. You’re diligently saving throughout your working life, building up a sizeable pension fund that’ll mean you can enjoy a good quality of life when... Read More

This is an article about behavioural biases and investment decision-making. If you think that sounds a bit dry and technical, let us start it off with a drink. Getting your investment tips over a drink The pandemic is over, and you are meeting an old work colleague for a drink. They start telling you about an article they recently read about a company that designs and manufactures mechanical tools. “They’ve just announced some really big developments. I reckon the company is going to take off and the share price will rocket”, they tell you. “They’ve just been listed on the Alternative Investment Market (AIM) and the share value has gone up 15% in a month. You really need to get... Read More