Happy Birthday Dear Chase de Vere! On March 7th this year we celebrated the 55th anniversary of our existence.
Since our 1969 launch date an awful lot has happened in the financial services field and, indeed, the wider world – with the first moon landing occurring only a few months later.
Whilst we wouldn’t dream of pretending that our first small step proved quite such a giant leap for mankind, we are certainly proud of the high-quality financial advice we have consistently offered and of the way we have managed to survive and prosper in a constantly changing marketplace.
From the rampant inflation of the 1970s and the 1986 Big Bang to the 2008 financial crisis and the 2020/1 COVID lockdowns, not to mention the never-ending stream of changes to pensions and other benefits regulation – we have been by our clients’ sides every step of the way.
During this time there has been a marked growth in the choice and sophistication of the benefits that employers can offer, and in the options available to employees in terms of what they can do with their money, where they can save or invest it and how they can plan for the future.
Whilst this has created many financial planning opportunities, it has also increased complexity levels, making it easier to make the wrong choices. It has therefore never been more important to have access to quality independent advice.
So, you will be pleased to learn that Chase de Vere, which benefits from the strong and secure ownership of its parent company Swiss Life, fully intends to be around for at least another 55 years!
The age 55 pensions link
We also can’t resist pointing out that, if we were an employee rather than a company, on reaching the age of 55 (do note that this age is increasing to 57 from 2028) we would have started to become eligible to access our pension benefits. Although, thanks to the Pensions Freedoms introduced in 2015, we wouldn’t necessarily be hanging up our boots if we did.
The modern pensions regime is so flexible that employees can simply carry on working and access private pensions and some company pension schemes on an ad hoc basis, withdrawing money as and when they need it in similar way to using a bank or building society deposit account.
But too many employees still aren’t aware of the options available to them or of the contribution levels and investment choices they need to make to secure a comfortable retirement. And it’s very much in employers’ interests to correct this situation.
Not only will providing the right pensions guidance enhance loyalty and morale, but it will also benefit a company’s succession planning if suitably enlightened employees end up being able to retire when they actually want to.
Chase de Vere is well placed to help as, unlike many of our competitors in the employee benefits space, we have an Independent Financial Adviser (IFA) arm.
Our financial education services can provide valuable pensions guidance through a range of generic workshops and seminars, and we can also provide regulated one-to-one financial advice where we can work with employees to tailor personalised retirement solutions — taking into account factors such as their attitude towards risk, earnings levels and retirement goals.
Some employers feel able to foot the bill for their employees to have such one-to-one advice, and some others share the costs with the employees.
But, even when employers do not feel able to make a contribution, the fact that they can point employees in the direction of a trusted partner like Chase de Vere still generates plenty of goodwill.
Additionally, there is a tax break to help employees fund their own retirement advice. The Pensions Advice Allowance allows those of any age in defined contribution schemes to withdraw up to £500 tax-free from their pension fund for this purpose – per tax year for up to a total of three tax years during their lifetimes.
Reaching age 55 is a critical moment for an employee, and making the wrong decision can be very costly. We know that advice can be incredibly valuable to ensure that the lifetime of paying into a pension scheme is maximised and meets the individuals objectives.
If you would like to find out more about how Chase de Vere can help your employees understand the pensions options available to them and any other aspect of retirement planning, then please don’t hesitate to contact us.
Content correct at time or writing.