Fact Find Questions

Question 1

Additional information needed to retire when Jane reaches 60

Answer 1

• Expected outgoings in retirement (inflation adjusted)
• Capital lumps needed
• level of inflation proofing needed
• Jane willing to increase to 5% contributions?
• level nick will pay into his pension
• level of state entitlement for both
• prepared to use non pension assets?
• asset allocation, performance and charges on all existing schemes
• projections for money purchase schemes to intended retirement ages
• escalation level on dB scheme
• CETV
• PCLS on dB scheme
• funding position of nicks DB scheme
• nomination forms completed for all pensions and DIS schemes
• willingness/affordability to use carry forward
• CFL

Question 2

Additional info needed - maximise estate passed to children

Answer 2

• £50k to Daniel a gift or loan
• any planned lifetime gifts?
• prepared to re-write bonds and add children as lives assured
• consider placing bond in DGT
• prepared to use non pension assets?
• prepared to make regular use of gift exemptions?
• prepared to take our a joint WOL plan?

Question 3

Additional info needed: Providing £50k to Daniel

Answer 3

• gift or loan?
• if loan, over what term?
• how much interest will they charge?
• Daniels tax status?
• would they fund from cash?
• or investment bond?
• if gift, joint gift?
• have they used gift exemptions in current and last tax year?

Question 4

Additional information: ensuring appropriate protection is in place in case either suffer a serious illness

Answer 4

IPI:

• level of cover provided by nicks new employer IPI scheme
• deferred period
• age cover stops

PMI:

• extent of cover provided
• is Jane covered?
• what is cost to Nick?
• is there an option for the policy to continue in Nicks name after retiring

CIC:

• terms under which cover is paid out
• any underwriting required?

GENERAL:

• the term each cover is required for
• level of sick pay each employer pays
• P11D value of the benefits
• budget for protection
• loading for nick as a smoker
• and due to his family health history
• if purchased in open market
• level of state benefits payable

Question 5

Additional info: in the event of either losing mental capacity, the other can make appropriate health care decisions for them

Answer 5

• who would they want to act as attorney?
• would this be joint?
• or joint and several basis?
• would they want replacement attorneys?
• do they have any end of life care requirements?
• preference as to cared for at home or a care home?

Question 6

Additional info: to ensure their non - pension investments are suitable for their needs and are tax efficient (12)

Answer 6

• planning/happy to use non pension assets to provide income in retirement
• how much income will they need from the investments
• what EF do they need
• switch options available with each investment
• performance of existing assets
• charges on existing assets
• any held on a platform
• base cost of Nick’s UT
• is nick prepared to see UT
• nick prepare to invest in VCT?
• Are they prepared to rebase bond?
• any previous registered losses
• prepared to change ownership of the deposit account to Nick’s name?
• have they used ISA allowances for the year

Question 7

Additional info: to maximise the estate passed to the children (7)

Answer 7

• £50k to Daniel, gift or loan?
• planning to make any other significant lifetime gifts
• prepared to re-write bond to add children as lives assured?
• consider placing the bond in a DGT?
• prepared to use non pension assets to provide income in retirement ahead of pension
• prepared to make regular use of gift exemptions
• prepared to take out joint WOL plan?