Planning for your later life

The sooner you plan for later life, the sooner you could start to enjoy long-term peace of mind.

 

Achieve your goals

Whatever your aspirations, a well-structured financial plan can help turn them into reality. Explore how you can prepare.

  • Pensions. Help secure your future with a retirement strategy that works for you.
  • Property. Plan for buying, selling, or investing in real estate.
  • Investments. Look to grow your wealth with informed decisions.
  • Your Legacy. Make sure those you care about benefit from what matters most to you.

A plan for your pension

From age 55, you can usually start to access your pension. This minimum age will rise to 57 from 06 April 2028. But being able to take your pension doesn’t always mean it’s the right time for you.

Leaving your pension invested for longer can give it more time to grow and could help support your plans for later life.

An independent financial adviser may help you with the right options for you.

Consolidate your pensions

If you have multiple pensions, you can leave them as they are or combine them into one. Combining them could make planning for retirement easier and save on charges. Check your options carefully as transferring might not be right for everyone.

You can find lost pensions by using the governments Pension Tracing Service.

Combining pensions

Your pension options

Deciding how to take your pension can feel like a big decision. There are several options for you to choose from when you reach retirement.

Whichever option you take at retirement, it’s important to pick the one that feels right for you.

Retirement options

Boost your pension pot

It’s never too late to add more money to your pension. Making even a small contribution can boost your pension.

Our pension calculator will help you explore how adjusting your retirement date or adding more money could affect your future finances.

Pension calculator

A plan for your property

If you own your home, it could be your biggest asset. There are several ways you can use your home for your financial benefit, but it is important to consider your options carefully.

Move somewhere smaller

If the time is right, ‘downsizing’ your home may be an option. It could help free up money to use as income in your later years. It can also be a good way to simplify your life and may reduce your household costs.

Selling your home

Buying a second home

If you have the money, buying a second home could help you afford a holiday home for you and your family. It could also give extra income if you are able to rent it out.    

Second home mortgage

Releasing equity from your home

If you are a homeowner, one option is equity release. This is when you borrow money against the value of your property. The amount you borrow, plus interest, is repaid when you die, which can reduce the value of your estate. 

Learn more from Moneyhelper

Things to think about if moving is part of your plan

If selling your home is part of your plan, you should check that it makes financial sense. Consider how much your home is worth, how well the housing market is performing and if your home is ready to be sold.

More importantly, you need to be sure that a move will be right for you. Think about how you want to live your life in your later years.

  • Factor in all the costs. Moving house can be expensive, consider the bigger financial picture before deciding. Include the difference in cost of living in your new property.
  • Move for the right reasons. Money shouldn’t be the only consideration. Think about location, community, amenities, family connections and whether the house suits your lifestyle.
  • Think about the future. It may be the last time you move. Consider choosing a house you’ll be happy with long term, especially as needs may change later in life.

A plan for your investments

For a complete later life financial plan, there are few things you may want to think about. Think about later life care and what will happen to your estate when you die. While you may be fighting fit now, it will give you peace of mind to know that you have a plan and that your wishes will be taken care of.

Investing for your future

You may think that investing for your future is complicated. We have lots of useful information and helpful guides on the types of investments you can choose and how to manage them.

Understanding investing

Review your investments

When you get closer to your retirement, you might want to think about any investments you have. Consider whether they are still right for your later life goals. Some people choose to reduce the amount of risk they have, so it’s worth understanding the different types of investments.

Share Dealing accounts

Remember, the value of an investment and the income from it can go down as well as up and you may get back less than you invested. We don't give advice, so if you are in any doubt about making your own investment decisions we recommend you seek advice from a suitably qualified financial adviser. There will normally be a charge for that advice.

A plan for your money

Have an up-to-date will

One of the most important things you can do, is to have an up-to-date will. This will make sure that your wishes are carried out after you die. It’s also good to check your will regularly as your priorities can change over time.  

Making a will

Power of attorney

It may be worth thinking about putting a power of attorney in place. This is a legal process that allows you to appoint someone you trust to make decisions on your behalf, if you can't do so yourself.      

Power of attorney

Beneficiaries

If you have a pension or life insurance policy, you may be able to name someone to benefit after your die. Check with your pension provider or policy provider and make sure your beneficiary information is kept up-to-date. It’s also important to make sure those you care about know that you have this in place.

Life insurance

Make a plan for your personal estate

You may want to leave as much as you can for your family after you die. If you do, you need to make a plan so that this can happen. Here are some of the things you may want to think about.

Who will inherit your home?

Most people pass their home on to their family when they die. If you want to do this, there are few things to think about. For instance, if your estate exceeds the Inheritance Tax allowances, a gift of your home to your children could secure an extra tax-free allowance of up to £175,000. Tax can be a complex topic, so it may be worth seeking more financial advice. Get more information on the government website.

GOV.UK

Who will inherit your pension?

Your remaining pension savings could be passed on to your family or friends. To do this you need to nominate a pension beneficiary and let your pension provider know who they are. You can find out more from the pension experts at Scottish Widows.

Scottish Widows

Later life care and funeral planning

Later life care can be expensive, so it’s worth understanding what options you have. Discuss this with your family and make a plan that could help you get the care that you may need. 

Another thing to think about is a funeral plan. This will guarantee you get the type of funeral you want.

With a funeral plan, you can pay in advance for most of your funeral, at today’s prices. You can buy a plan from a funeral directors or funeral plan provider and the money you set aside in it can only be used for funeral costs. Once you have decided what you want your plan to include, you can pay for it in a lump sum or monthly instalments.

Estate Administration Services

If Lloyds is the named executor in the will or if you need support to deal with an estate and would like to find out more about our services, then call us on 0800 056 0171 (or +44 (0) 1733 286 482 if calling from outside the UK). Lines are open Monday to Friday, 9am to 5pm. Calls may be monitored or recorded.

Our initial support and guidance is fee free and without obligation. If you think the service is right for you, we will explain our fees and charges to act as executor or administrator in an estate. Fees and charges for our services are charged to the estate.​              

Estate Administration

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