Latest news with #AntoniaMedlicott
Daily Mirror
6 days ago
- Business
- Daily Mirror
Boost income by £330 annually with little-known government scheme
It currently costs around £43,900 a year for a comfortable retirement. And with the full new state pension covering £11,973, savers will need to make up the difference themselves. Finance expert Antonia Medlicott has revealed a savvy tip for those eyeing a comfortable retirement, with the current annual cost estimated at about £43,900. With the full new state pension providing just £11,973, Brits are left to bridge the gap themselves. Antonia, MD of Investing Insiders, is pointing savers towards a "little-known government scheme" known as Specific Adult Childcare Credits that could bolster your state pension to the maximum if you're short on qualifying years. The investment expert said: "When a parent gets child benefit, they also get national insurance credits, but if they're working and someone else is doing the childcare, like a grandparent, then those credits can be transferred, which increases your retirement income if you don't have enough national insurance contributions. "Each year of credit can be worth up to £330 in extra pension income. Over a 20-year retirement, that equates to £6,600. Even better, you can backdate credits to 2011 in the application." Should have no effect on state pension entitlement And there's no need to worry about the parents' state pension entitlement – it remains unaffected as long as they're clocking up qualifying years through other means, such as employment. Royal London's analysis shows just over half of the 3.4 million people on the new state pension snag the full amount, reports Lancs Live. The remainder receive amounts proportional to the number of qualifying years they possess. To secure the full sum, you need 35 qualifying years where you either contributed National Insurance or obtained credits such as the Specific Adult Childcare entitlement. To qualify for the credits, you must be aged over 16 but below state pension age, the child's parent or primary carer must consent to transferring their credit to you, and they must verify that you have cared for their child. You must also be an 'eligible family member' - this encompasses aunts, uncles, siblings irrespective of blood ties, grandparents, great-grandparents or great-great-grandparents. Check your pension Antonia also encouraged individuals to monitor their pensions even if retirement is years away. She said: "A staggering 55% of workplace pensions underperform against industry standards, which could leave workers with an income shortfall when they retire. "It's vital to take an active interest in a workplace pension to make sure it's on track for a comfortable retirement. Simply checking a pension regularly (at least once a year) will help workers identify any disappointing returns and take action if they need to change their investment strategy." Antonia highlighted that a mere 10% of the UK population have taken advantage of a Self-Invested Personal Pension (SIPP), which offers the same tax benefits as workplace pension schemes but with greater control over investment choices. She recommended considering a SIPP for several reasons beyond merely enhancing retirement income. She said: "There is a lot of flexibility when it comes to this pension; you can contribute as much or as little as you want. It is also very effective when it comes to estate planning. "You can pass on your pension savings to nominated beneficiaries very easily, which gives good peace of mind to know that your money will end up with loved ones." The finance guru also pointed out a common costly mistake regarding pensions: delaying the start of saving. She elaborated: "If you invest £200 a month from the age of 25, by 65 you could have a pot of over £459,000 at an average return rate of 7.5 per cent. "But if you start at 35, that pot will be £223,000, and it will be just £98,600 if you start at 45." It's important to remember that investments carry risk, and it's advised not to invest more than you can afford to lose at any point in life or when planning for retirement.
Scotsman
15-07-2025
- Business
- Scotsman
Expert provides five finance tips that could add £367,000 to Scots pension pots
Scots are losing money from their pension pots because of simple mistakes like failing to apply for government credits and low-performing pensions, but new tips from a finance expert explain how you can get your money in check. Sign up to our daily newsletter Sign up Thank you for signing up! Did you know with a Digital Subscription to Edinburgh News, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Scots are losing money from their pension pots because of simple mistakes like failing to apply for government credits and low-performing pensions, but new tips from a finance expert explain how you can get your money in check. Recent data shows that £43,100 is needed annually for a comfortable retirement in Scotland, yet more than a fifth feel unprepared for their later years. Fortunately, to help prepare yourself, finance expert Antonia Medlicott, Managing Director of Investing Insiders, has revealed five things you should do to give yourself a more comfortable retirement. Advertisement Hide Ad Advertisement Hide Ad 41 per cent of workers are not currently contributing to a private pension, but Antonia's guidance shows there are simple changes that can provide huge gains in retirement pots. Start thinking about your pension now. Apply for Specific Adult Childcare Credits When a parent gets child benefit, they also get national insurance credits, but if they're working and someone else is doing the childcare, like a grandparent, then those credits can be transferred, which increases your retirement income if you don't have enough national insurance contributions. This little-known government scheme is called Specific Adult Childcare Credits, and each year of credit can be worth up to £330 in extra pension income. Over a 20-year retirement, that equates to £6,600. Even better, you can backdate credits to 2011 in the application. The scheme leaves parents worried and asking questions such as 'will this negatively impact my own pension entitlement?', but the great news is that it doesn't, as they are working, which provides them with the national insurance credit anyway. Check your workplace pension Advertisement Hide Ad Advertisement Hide Ad A staggering 55 per cent of workplace pensions underperform against industry standards, which could leave workers with an income shortfall when they retire. It's vital to take an active interest in a workplace pension to make sure it's on track for a comfortable retirement. This issue is particularly acute for women, as only 28 per cent know where their pension is invested compared to over half of men (51 per cent). And recent government estimates show that women have 35 per cent less private pension wealth than men. Advertisement Hide Ad Advertisement Hide Ad Simply checking a pension regularly (at least once a year) will help workers identify any disappointing returns and take action if they need to change their investment strategy. Open a Self-Invested Personal Pension A Self-Invested Personal Pension allows you to have more control over how your money is invested and is popular due to its tax efficiency; all contributions are tax-deductible, and all growth is entirely tax-free. Making it an effective way to save for retirement. Around 10 per cent of Scotland's adult population currently hold a SIPP. Statistics over the last decade show that the average self-interest personal pension returns 5.2 per cent per year, compared to a standard default pension, which is between 3-4 per cent. There is a lot of flexibility when it comes to this pension; you can contribute as much or as little as you want. It is also very effective when it comes to estate planning. You can pass on your pension savings to nominated beneficiaries very easily, which gives good peace of mind to know that your money will end up with loved ones. Diversify income sources Advertisement Hide Ad Advertisement Hide Ad It's crucial that when you get to your retirement age, you diversify your income sources. Having this will help protect you from pension shortfalls and market volatility. This can be through state pensions, workplace pensions, investments, and personal savings. Each income source gives you an extra level of financial protection, as well as comfort during your retirement. If you combine this with being debt-free, then there's no reason you can't enjoy a stress-free and work-free later life. If you invest £200 a month from the age of 25, by 65 you could have a pot of over £459,000 at an average return rate of 7.5 per cent. But if you start at 35, that pot will be £223,000, and it will be just £98,600 if you start at 45. Debt-free living One of your main aims before retirement should be eradicating or minimising your debt. Particularly debt with high interest, as having to make regular payments on this could take a considerable amount out of your budget. Advertisement Hide Ad Advertisement Hide Ad It's also essential to think about your mortgage. If this is paid off before your retirement, then you won't have to worry about accommodation. On average, the Scottish population spends 36.7 per cent of its annual income on rent or mortgages alone. This will improve your financial flexibility, with that money instead going towards essentials like bills, food, and clothing. Whilst still having enough left over to treat yourself in your later years. Finally, Antonia commented: 'We often don't want to think about ourselves reaching retirement age. However, assessing the situation now and making small changes, such as checking for childcare credits or how your workplace pension performs, will leave you better prepared when you approach the end of your working life in Scotland. 'Deciding to start investing a small portion of your monthly income now could leave you with a lot more in your pension pot. That money will allow you to have a more comfortable retirement, or even let you retire earlier than planned.'
Scotsman
15-07-2025
- Business
- Scotsman
Expert provides five finance tips that could add £367,000 to Scots pension pots
Scots are losing money from their pension pots because of simple mistakes like failing to apply for government credits and low-performing pensions, but new tips from a finance expert explain how you can get your money in check. Sign up to our daily newsletter – Regular news stories and round-ups from around Scotland direct to your inbox Sign up Thank you for signing up! Did you know with a Digital Subscription to The Scotsman, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Recent data shows that £43,100 is needed annually for a comfortable retirement in Scotland, yet more than a fifth feel unprepared for their later years. Fortunately, to help prepare yourself, finance expert Antonia Medlicott, Managing Director of Investing Insiders, has revealed five things you should do to give yourself a more comfortable retirement. 41 per cent of workers are not currently contributing to a private pension, but Antonia's guidance shows there are simple changes that can provide huge gains in retirement pots. Apply for Specific Adult Childcare Credits Advertisement Hide Ad Advertisement Hide Ad Start thinking about your pension now. When a parent gets child benefit, they also get national insurance credits, but if they're working and someone else is doing the childcare, like a grandparent, then those credits can be transferred, which increases your retirement income if you don't have enough national insurance contributions. This little-known government scheme is called Specific Adult Childcare Credits, and each year of credit can be worth up to £330 in extra pension income. Over a 20-year retirement, that equates to £6,600. Even better, you can backdate credits to 2011 in the application. The scheme leaves parents worried and asking questions such as 'will this negatively impact my own pension entitlement?', but the great news is that it doesn't, as they are working, which provides them with the national insurance credit anyway. Check your workplace pension A staggering 55 per cent of workplace pensions underperform against industry standards, which could leave workers with an income shortfall when they retire. Advertisement Hide Ad Advertisement Hide Ad It's vital to take an active interest in a workplace pension to make sure it's on track for a comfortable retirement. This issue is particularly acute for women, as only 28 per cent know where their pension is invested compared to over half of men (51 per cent). And recent government estimates show that women have 35 per cent less private pension wealth than men. Simply checking a pension regularly (at least once a year) will help workers identify any disappointing returns and take action if they need to change their investment strategy. Open a Self-Invested Personal Pension Advertisement Hide Ad Advertisement Hide Ad A Self-Invested Personal Pension allows you to have more control over how your money is invested and is popular due to its tax efficiency; all contributions are tax-deductible, and all growth is entirely tax-free. Making it an effective way to save for retirement. Around 10 per cent of Scotland's adult population currently hold a SIPP. Statistics over the last decade show that the average self-interest personal pension returns 5.2 per cent per year, compared to a standard default pension, which is between 3-4 per cent. There is a lot of flexibility when it comes to this pension; you can contribute as much or as little as you want. It is also very effective when it comes to estate planning. You can pass on your pension savings to nominated beneficiaries very easily, which gives good peace of mind to know that your money will end up with loved ones. Diversify income sources It's crucial that when you get to your retirement age, you diversify your income sources. Having this will help protect you from pension shortfalls and market volatility. This can be through state pensions, workplace pensions, investments, and personal savings. Advertisement Hide Ad Advertisement Hide Ad Each income source gives you an extra level of financial protection, as well as comfort during your retirement. If you combine this with being debt-free, then there's no reason you can't enjoy a stress-free and work-free later life. If you invest £200 a month from the age of 25, by 65 you could have a pot of over £459,000 at an average return rate of 7.5 per cent. But if you start at 35, that pot will be £223,000, and it will be just £98,600 if you start at 45. Debt-free living One of your main aims before retirement should be eradicating or minimising your debt. Particularly debt with high interest, as having to make regular payments on this could take a considerable amount out of your budget. It's also essential to think about your mortgage. If this is paid off before your retirement, then you won't have to worry about accommodation. On average, the Scottish population spends 36.7 per cent of its annual income on rent or mortgages alone. Advertisement Hide Ad Advertisement Hide Ad This will improve your financial flexibility, with that money instead going towards essentials like bills, food, and clothing. Whilst still having enough left over to treat yourself in your later years. Finally, Antonia commented: 'We often don't want to think about ourselves reaching retirement age. However, assessing the situation now and making small changes, such as checking for childcare credits or how your workplace pension performs, will leave you better prepared when you approach the end of your working life in Scotland. 'Deciding to start investing a small portion of your monthly income now could leave you with a lot more in your pension pot. That money will allow you to have a more comfortable retirement, or even let you retire earlier than planned.'
Daily Record
24-06-2025
- Business
- Daily Record
Expert provides five finance tips which could add £367,000 to your pension pot
Brits are losing money from their pension pots because of simple mistakes like failing to apply for government credits and low-performing pensions, however, essential tips from a finance expert explain how you can get your money in check. Recent data from the Pensions and Lifetime Savings Association (PLSA) shows that £43,900 is needed annually for a comfortable lifestyle in retirement, yet more than a fifth of Brits feel unprepared for their later years. The PLSA sets three different retirement lifestyles - minimum (£13,400), moderate (£31,700), and comfortable (£43,000) - to give people a general indication of the kind of lifestyle they may be on track for in retirement. To help prepare yourself for retirement, finance expert Antonia Medlicott, Managing Director of Investing Insiders, has shared five things you should do to give yourself a more comfortable lifestyle in later life. Some 41 per cent of employees are not currently contributing to a private or workplace pension, but Antonia's guidance shows there are simple changes that can provide huge gains in retirement pots. Apply for Specified Adult Childcare Credits When a parent gets child benefit, they also get national insurance credits, but if they're working and someone else is doing the childcare, like a grandparent, then those credits can be transferred, which increases your retirement income if you don't have enough national insurance contributions. This little-known UK Government scheme is called Specified Adult Childcare and each year of credit can be worth up to £330 in extra pension income. Over a 20-year retirement, that equates to £6,600. Even better, you can backdate credits to 2011 in the application. The scheme leaves parents worried and asking questions such as 'will this negatively impact my own pension entitlement?', but the great news is that it doesn't, as they are working, which provides them with the national insurance credit anyway. Check your workplace pension A staggering 55 per cent of workplace pensions underperform against industry standards, which could leave workers with an income shortfall when they retire. It's vital to take an active interest in a workplace pension to make sure it's on track for a comfortable retirement. This issue is particularly acute for women, as only 28 per cent know where their pension is invested compared to over half of men (51%). And recent government estimates show that women have 35 per cent less private pension wealth than men. Simply checking a pension regularly (at least once a year) will help workers identify any disappointing returns and take action if they need to change their investment strategy. Open a Self-Invested Personal Pension A Self-Invested Personal Pension (SIPP) allows you to have more control over how your money is invested and is popular due to its tax efficiency; all contributions are tax-deductible, and all growth is entirely tax-free. Making it an effective way to save for retirement. Around 10 per cent of the UK adult population currently hold a SIPP. Statistics over the last decade show that the average self-interest personal pension returns 5.2 per cent per year, compared to a standard default pension, which is between 3-4 per cent. There is a lot of flexibility when it comes to this pension; you can contribute as much or as little as you want. It is also very effective when it comes to estate planning. You can pass on your pension savings to nominated beneficiaries very easily, which gives good peace of mind to know that your money will end up with loved ones. Diversify income sources It's crucial that when you get to your retirement age, you diversify your income sources. Having this will help protect you from pension shortfalls and market volatility. This can be through state pensions, workplace pensions, investments, and personal savings. Each income source gives you an extra level of financial protection, as well as comfort during your retirement. If you combine this with being debt-free, then there's no reason you can't enjoy a stress-free and work-free later life. If you invest £200 a month from the age of 25, by 65 you could have a pot of over £459,000 at an average return rate of 7.5 per cent. But if you start at 35, that pot will be £223,000, and it will be just £98,600 if you start at 45. Debt-free living One of your main aims before retirement should be eradicating or minimising your debt. Particularly debt with high interest, as having to make regular payments on this could take a considerable amount out of your budget. It's also essential to think about your mortgage. If this is paid off before your retirement, then you won't have to worry about accommodation. On average, the UK population spends 35.7 per cent of its annual income on rent or mortgages alone. This will improve your financial flexibility, with that money instead going towards essentials like bills, food, and clothing. Whilst still having enough left over to treat yourself in your later years. Antonia said: 'We often don't want to think about ourselves reaching retirement age. However, assessing the situation now and making small changes, such as checking for childcare credits or how your workplace pension performs, will leave you better prepared when you approach the end of your working life. 'Deciding to start investing a small portion of your monthly income now could leave you with a lot more in your pension pot. That money will allow you to have a more comfortable retirement, or even let you retire earlier than planned.'
Daily Mail
02-06-2025
- Business
- Daily Mail
Why getting married abroad could land you with a HUGE bill from the taxman
Couples marrying abroad could be landed with a huge inheritance tax bill if their foreign wedding is not legally binding, a couple has warned. Antonia Medlicott, 49, and Tim Pindar, 44, tied the knot in 2009 in the wedding of their dreams in Spain. The couples families flew out for a 'big Catholic wedding' on the continent, but were unaware that they had 14 days to register their marriage at the town hall, they told The Telegraph. The priest who officiated the wedding had tried to warn the couple that their marriage would be null and void, but the couple did not understand Spanish and the priest did not speak any English. The couple found out their marriage was not legally binding some months later, but decided to ignore it for the next 13 years. However in 2023 the couple were forced to remarry, after discovering they could be set to lose a huge amount of money if one of them passed away. The spousal exemption allows married couples to avoid paying inheritance tax when passing assets to their wife or husband when they die. Unmarried couples however, do not have the same privilege and those who leave assets worth over £325,000 have to pay 40 per cent inheritance tax on the amount over the allowance. Unmarried couples may soon lose out on pension savings too if their partner dies, under new plans by Rachel Reeves. Pension savings can currently be left to an unmarried partner without any inheritance tax being paid, but this is set to end in 2027. Ms Medlicott and her husband discovered that they could be set to lose thousands after speaking to a lawyer about their wills. She said: 'He pointed out that if something happens to either one of us, there's a massive inheritance tax bill coming our way. So we decided we would have to just get on with it.' The couple estimated they would have had an £80,000 inheritance tax bill on their house alone. With potentially more coming from pensions, savings and a business owned by Ms Medlicott. If the worst had happened, the surviving spouse would have been forced to sell their family home to cover the bill. Far from their extravagant Spanish wedding in 2009, the couple opted for a quieter affair in 2023. They described their second wedding as 'bare bones' costing around £1,000 all in - including a bottomless bunch with six friends. Ms Medlicott wore a brown dress and borrowed boots from a friend as the couple finally officially tied the knot at a civil wedding in their local registry office. Claire Trott, head of advice at St James's Place, said: 'Getting married for tax purposes isn't a new concept, particularly in the world of pensions. Many defined benefit schemes have restrictions on who death benefits can be paid to, sometimes depending on when a couple marries. 'My own father married my stepmother just before his defined benefit pension came into payment, because under the scheme rules, death benefits were only payable to the spouse at the date of retirement. Had they married after that point, even after 30 years together, she wouldn't have been entitled to anything.' She said that marriage could soon become an even more valuable planning tool to deal with inheritance tax, particularly with pensions being brought into the scope for the levy. Ms Medlicott said she felt 'resentful' about having to remarry just to save thousands of pounds. She said that marriage 'isn't for everyone' and felt it was 'ridiculous' that a piece of paper could be the difference between huge sums of money for couples.
