Pension LTA, IFA, bit of everything

[youngguy]

Think I'm going to get a bit of stick for this one but it's Friday, so what the heck.

I've been loitering inside IR35 for a while now and therefore maxing out salary sacrifice. This keeps the tax bill as low as it can be but now I'm staring down the 'problem' of the Pension LTA.

A bit of modelling suggests on my current trajectory and with modest growth, I may hit it in 6 years, which is around 13 years before I can even draw the damn thing (assuming rules don't change).

I never got into property rental (not wise) and the thought of that hassle does not appeal to me now. I have a good warchest and I do have other 'investments' (1/10th the size of the pension) but it's not an area I excel in or enjoy. I could take more money as salary (losing half to tax) and either put that into investments or just spend/enjoy it....which is my current thinking. I'm increasingly thinking that after 20 years of saving for a rainy day, a little bit of enjoying things now is not a bad thing (who knows what happens in the future, early grave etc)

Obviously no one here knows all my details and desires or is a financial advisor, so I guess my question is:-

1) how are people approaching retirement planning and the LTA?
2) are there any wise old sages on here that have a insight (looking back) as to whether they did get the balance right of save fir later Vs spend now
3) how does one find an IFA that is just happy to do one off reviews, rather than push an entire package and their own platform

[Andy2022]

Isn’t the LTA due to be abolished in April? https://www.gov.uk/government/public...-allowance-lta

Of course it may be brought back in by a Labour Gov but even then they’ll probably allow protection of sums over the LTA if they reduce it

If they stopped pensions being an inheritance tax dodge then there’s probably no issue with keeping the LTA scrapped but Governments are weird beasts

[jamesbrown]

The LTA is gone (practically now, because there are interim measures, and formally in April), so that is moot until Labour brings it back (which they have promised to do, but it's pointless to speculate about - they may not bring it back in the same form, it could be worse).

[youngguy]

AHH thanks. This somehow passed me by. It sounds vaguely familiar but I think I maybe forgot/dismissed it/assumed it was more gov hot air.

I'll carry on until labour change the field and deal with it then.

[Andy2022]

Also looks like there’s some weird loophole where you get an increase Tax Free Lump Sum if you’ve got a QROPS but can’t see that one staying open too long

https://www.msn.com/en-us/money/pers...ax/ar-BB1hfibD