The Public Accounts Committee (PAC) has called for HM Revenue & Customs to take a tougher stance on those with very high income to build the public’s trust in the organisation.
According to the MPs, there is (more…)
Savers lose out as inflation rates hit two-year high
UK savers are being hit again, as rising inflation reaches its highest point in two years at 1.6%, from 1.2% in November.
Last month, the (more…)
Savers need to plan for rising retirement age
The state retirement age has been gradually increasing, meaning that workers will soon have to work until they are approaching their 70s before they are able to retire and claim a state pension.
For some people, that may not be too much of a problem, but for those who have health issues, this may not be the case. Data indicates that (more…)
Tax evasion enablers face new stricter sanctions
HMRC has toughened its stance on tax evasion as of January 1st, 2017 in a bid to create a fairer system for all.
Enablers of offshore tax evasion will face (more…)
Nine out of ten executives believe ‘tax shaming’ is bad for business
According to 91% of finance executives worldwide, publicity surrounding tax planning has a negative impact on a company’s reputation.
A study conducted by (more…)
Families faced with 80% Inheritance Tax bill
Although George Osborne, the previous Chancellor, had introduced measures to ensure that family homes would not be subject to (more…)
Higher rate taxpayers lose £360m of pension money
According to a recent study, up to 20% of people who are higher rate taxpayers are losing out on 20% of pension money each year, as they (more…)
TUC urges government to consider pension contribution increases
The Trades Union Congress (TUC), the largest union in England, has come together with a number of charities and pension professionals to call for an urgent decision on the increase of pension contributions for the (more…)
Generation X faces pension shortfall in retirement
According to a new report, UK workers aged between 35 and 54 years old are at risk of facing an income shortfall after they finish working.
The report, compiled by the Pensions and Lifetime Savings Association, states that people aged 55 and over may have a decent amount of income due in retirement, as they have benefited from final salary pension schemes and may have property wealth. Younger workers will have been auto-enrolled into a pension scheme quite early in their career, although they may still face a shortfall during retirement.
The ‘Retirement Income Adequacy: Generation by Generation’ has found that 53% of the UK workforce, or 13.6 million people, are at risk of not meeting the ‘target replacement rate’, which equates to 67% of earnings before retirement.
The study also revealed that around 6% of the workforce, or 1.6 million people, are at risk of not meeting the standards for minimum income, which is set each year by the Joseph Rowntree Foundation. The amount set for 2016 is £9,500.
The study suggests that workers aged between 35 and 54 years old should contribute more to their pensions, or consider working for longer. Another suggestion is to utilise property to generate a higher income during retirement.
The Pensions and Lifetime Savings Association is calling for the setting up of an Independent Pension Commission to tackle the problem. One suggestion by PLSA is to increase total pension contributions to 12%, from the government, employers and workers.
The report demonstrates just how important retirement planning is for all age groups, and suggests that Wirral employees would be wise to put serious thought into it.
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Employees face higher tax bills on salary sacrifice schemes
Salary sacrifice schemes have been limited in the Chancellor’s Autumn Statement, with the range of benefits being significantly restricted.
The changes will (more…)
