Archive for the ‘Wealth Management’ Category

TPR carries out spot checks on South Wales employers

Posted on: October 19th, 2017 by Clive Headon No Comments

Inspection teams have been visiting dozens of businesses in Cardiff, Newport, Caerphilly, the Vale of Glamorgan and Rhondda Cynon Taf to check that qualifying staff are being given the workplace pensions they are entitled to.

The move is part of a nationwide enforcement campaign by The Pensions Regulator (TPR) which began in London in April to ensure employers are meeting their automatic enrolment duties correctly. (more…)

Managing automatic re-enrolment

Posted on: October 2nd, 2017 by Clive Headon No Comments

Once you’ve been running auto-enrolment for three years you’ll need to re-enrol workers.

Over the last five years there has been a seismic shift in attitudes towards retirement saving.

Auto-enrolment means workplace pensions are now regarded by many employees as a normal part of working life. (more…)

Planning your retirement

Posted on: July 28th, 2017 by Leighton Reed No Comments

Whatever your age, it’s never too late to start saving to retire.

It’s more important than ever to start your retirement planning from an early age, however dull a prospect that may sound to younger generations.

Putting money into a pension each month will provide you with a regular income once you retire. (more…)

Automatic Enrolment Staging Date

Posted on: February 28th, 2017 by Clive Headon No Comments

We would now hope that the majority of employers are aware that the law on workplace pensions has changed. Under the Pensions Act 2008, every employer in the UK (even if you just employ 1 member of staff) must put eligible employees into a pension scheme and contribute towards the pension.  This is called ‘Automatic Enrolment’. (more…)

Budget 2016: Reform of pension tax relief

Posted on: January 25th, 2016 by Denise Roberts No Comments

Denise Roberts (2)David Gauke, the Financial Secretary to the Treasury was recently reported as noting that a review of pensions taxation in the March Budget would keep savers in mind. This announcement is likely to be seen as encouraging for those who wish pensions to continue to be taxed on withdrawal rather then on contributions.

However, on the other side of the coin ministers are considering changes to replace the current variable tax relief for pension contributions with a new flat rate. This reform would have significant implications for both savers and the exchequer.

At the current time basic rate taxpayers receive 20% tax relief, with higher rate tax payers receiving 40% and top rate tax payers receiving 45%.

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New dividend taxes and tax planning

Posted on: October 13th, 2015 by Leighton Reed No Comments
Leighton Reed, Director, MHA Broomfield Alexander

Leighton Reed, Director, MHA Broomfield Alexander

The recent Summer Budget included a number of surprise changes to tax, the main three being the increase in the tax on dividends from April 2016, the restriction of mortgage interest relief from April 2017 for landlords and from April 2016 the reduction in the Annual Allowance for pension contributions gradually from £40,000 to £10,000 for high earners. I wish to focus on the dividend change.  The change will affect two distinct classes of taxpayers in different ways:

For owner managed companies, from April 2016, dividends will be more expensive generally speaking by around 7.5% in tax every year.

For those with share or investment portfolios and who do not own a company, you may see your tax charges reduced on dividends where the dividends you receive each year are £5,000 or less.

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Auto-enrolment: 10 steps to a stress free transition

Posted on: February 9th, 2015 by Sarah Curzon No Comments
Sarah Curzon, Tax Director, MHA Broomfield Alexander

Sarah Curzon, Tax Director, MHA Broomfield Alexander

For the first time since the beginning of the government auto-enrolment initiative, three employers have been issued with penalty fines for non-compliance by The Pensions Regulator (TPR). The three firms that have been hit with penalties are amongst 163 firms that have been issued with notices by TPR between July and September 2014.

Over 33,000 firms have begun the auto-enrolment process so far, with an estimated 1.25 million due to stage over the next 3 years. The latest penalties are just the beginning.  Despite the message to prepare early being hammered forward, TPR expect to see a number of employers failing to prepare themselves, either leaving it too late or simply failing to comply at all.

Every employer has a duty to enrol their employees into a pension scheme and contribute towards it. In preparing for this new law, there are a number of steps organisations can take to ensure a smooth transition.

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Tax free investments: EIS

Posted on: January 5th, 2015 by Leighton Reed No Comments
Leighton Reed, Director, MHA Broomfield Alexander

Leighton Reed, Director, MHA Broomfield Alexander

The Enterprise Investment Scheme (‘EIS’) offers tax relief to individuals who invest in new shares in unquoted trading companies. If you are looking to make investments or to raise money for your company, the EIS might be the answer. There are three main reliefs available:

  1. Income tax relief;
  2. Capital gains tax exemption; and
  3. Capital gains tax deferral.

Income tax relief is given at the rate of 30% on the cost of the shares and is set against your income tax liability for the year in which the investment is made or it can be carried back to the previous tax year, if desired.

The maximum investment on which relief can be claimed is £1m each tax year and there is no minimum investment.

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Preparing for Auto-enrolment

Posted on: July 9th, 2014 by Sarah Curzon No Comments

Auto-enrolment is the biggest single change to the pension industry in decades.

Introduced as part of the government’s workplace pensions reform in 2012 the legislation is already being rolled to all businesses across the UK.

Download a copy of our ‘Preparing for Auto-enrolment’ guide which will provide you with information on what employers must do to implement auto-enrolment.

Getting auto-enrolment right is vital. Please contact our Wealth Management team to discuss auto-enrolment and your specific business needs.

NISA to see you to see you NISA!

Posted on: July 8th, 2014 by Leighton Reed No Comments

The 1 July marked the introduction of New-ISAs (or NISAs) giving savers something of a Brucie-bonus.  We first heard about NISAs in George Osborne’s Budget speech back in March – a speech packed full of changes to savings and pensions.

So what has changed?  Since ISAs were introduced there have been two annual limits which increase each year.  The first was the total amount you are allowed to save in one tax year – up until 1 July that limit was £11,880.  The second limit was on how much of your ISA could be saved in cash (as opposed to stocks and shares), being half of the total limit, £5,940.

From 1 July all existing ISAs have become NISAs where the annual limit has increased to £15,000.  This is the only limit imposed; meaning that if you wanted to invest the full £15,000 in cash then you can do so.  As a result NISAs will be a much more flexible investment tool, offering savers the choice as to how much they want to invest in cash or stocks and shares (or both) each year within a tax free wrapper.

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