Welcome to our March/ April 2025 edition of our financial planning magazine.
2024/25 Tax Year End
Welcome to our latest issue. The UK tax year is a well-structured framework governing tax assessment and collection. It begins on 6 April and runs until 5 April the following year. As we approach the end of the 2024/25 tax year, maximising available opportunities is essential to make the most of your finances. Time is running out to review your plans and fully capitalise on tax-saving options. On page 10, this article explores some key strategies to ensure you finish the tax year in a strong position and make your money work harder for you.
Wealth Transfer
The world is on the verge of an unprecedented intergenerational wealth transfer. Despite this monumental shift, many families remain unprepared, lacking structured plans to ensure their financial legacies are preserved or distributed according to their wishes. On page 03, we look at why wealth transfer planning involves much more than merely arranging for Inheritance Tax. This process requires asking crucial questions concerning your legacy, your beneficiaries and your long-term financial aims.
Retirement
Planning your estate is challenging at the best of times. Knowing how to mitigate your liabilities while ensuring your loved ones are cared for takes proper planning and the right tools. The 2024 Autumn Budget Statement announcements could create significant and lasting challenges for rural businesses of all sizes. Under the Chancellor’s proposed changes, from April 2026, IHT reliefs available to farms and family businesses will be restricted. Turn to page 12.
Income Tax
For many earners in England, Wales or Northern Ireland, the highest Income Tax rate is 45%. However, while 45% is the highest ‘official’ rate, some individuals effectively pay a tax rate of 60% on part of their income. This phenomenon, commonly called the ‘60% tax trap’, affects those earning between £100,000 and £125,140. Turn to page 12 to find out more.
A complete list of the articles featured in this issue appears on page 02.
Time to chart a clear, step-by-step path toward success?
Whether you’re planning for a secure retirement, aiming to grow your investments or safeguarding your wealth, there’s no better moment to take action. We’re here to help turn your financial aspirations into real achievements. No matter your destination, we’ll work with you to chart a clear, step-by-step path toward success. Ready to begin? Contact us today – we look forward to hearing from you!
To discuss any of the issues raised in this article, please contact us. Further information can also be found at gov.uk.
Read more:
All Matters Financial Podcast
Dive deeper into the topics mentioned on this insight and more with our All Matters Finance Podcast. Click the link below:
Personal circumstances differ and not all of this information is applicable to every client and/or their business, this information is general in nature and should not be relied upon without seeking specific professional financial advice.
The Financial Conduct Authority (FCA) does not regulate tax advice, estate planning, trusts or will writing.
The content in this article is for your general information and use only and is not intended to address your particular requirements. Articles should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice.
Although endeavours have been made to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No individual or company should act upon such information without receiving appropriate professional advice after a thorough examination of their particular situation. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of any articles.
Thresholds, percentage rates and tax legislation may change in subsequent finance acts. Levels and bases of, and reliefs from, taxation are subject to change and their value depends on the individual circumstances of the investor. The value of your investments can go down as well as up and you may get back less than you invested. Past performance is not a reliable indicator of future results.
Pareto Financial Planning Limited is authorised and regulated by the Financial Conduct Authority (FCA).
