Fact-finding Flashcards
Identify the additional info you would need from S&G to establish suitable financial protection in the event of death or serious illnes for either
Income and capital req’d over what term
Level of state benefit available
Budget
Do the wills include direction on second death
How much to they expect to pay to cover the uni costs for H&E
How long will H&E be at uni
Will Simon’s business be able to continue if he is unable to work, would he receive income?
Is Simon prepared to fund any protection through the business
What level of sick pay does Grace’s employer offer and for how long
Does Simon play rugby at amateur or semi-pro
Has Simon had any injuries playing
Identify the additional info you would need from S&G to establish the suitability of current pensions, savings and investments
Emergency fund req’d
Is Simon willing to sell premium bonds and re-invest proceeds
Performance of ISA’s and bond against suitable benchmark
Asset split of investments
Charges on the different pensions and investments
Willingness to switch to new investments
Are the ISAs on a platform or held directly
Any registered losses from previous years
Base cost of UK company shares
Amount of income re-invested in to the OEIC
Willingness to change ownership of assets
Are they prepared to contribute the full ISA allowance each year
How much will Simon’s company contributions increase by/level of personal contribution
Annual allowance available to carry forward
Would Grace’s employer match a higher contribution
Would Simon be willing to make Grace as shareholder in the business
Identify the additional info you would need from S&G to establish funding for for H&E’s uni costs
How long is H’s course
How long is E’s course likely to be
How much do they expect to pay each month for E
Do they expect the amount they pay to the children to increase in line with inflation or change
Do they expect either child to get a job to help
Interest rate on the student loans
Amount likely to be owed in student loans at the end of both their courses
Importance/likelihood of them paying the student loans off
Identify the additional info you would need from S&G to be able to generate an adequate level of income in retirement
Importance of retiring at Simon’s age 60
Income and capital req’d in retirement
Level of inflation proofing req’d
State pension entitlement
Any guaranteed/ protected benefits within Simon’s deferred schemes
Their affordability/funds to commit to achieving this
Is Simon willing to sell the premium bonds and re-invest the proceeds for growth as well as the UK company shares
Asset allocation of pension funds and investment funds that will be used to fund retirement
Fund charges on pensions and investments that will be used to fund retirement
Projections/likely growth rates of investments that will be used
Likely value of Simon’s business at retirement
Their likely future earnings
How much could Simon’s company afford to increase his contributions to
How much unused annual allowance do they have available to c/f
Do they intend to repay the mortgage before retirement
C4L
Identify the additional info req’d to maximise the tax-efficiency of pension and investments for S&G
Is Simon prepared to make EE’s conts to his pension
Is Simon prepared to place more assets in Grace’s name and would he be prepared to make her a shareholder in the business
Are they prepared to fully fund their ISA’s this year and future years
Are they prepared to increase their conts they pay into their pensions
What is the base cost of Simon’s UK company shares
Do they have any registered losses
Level of re-invested income to the OEIC
Are they prepared to bed and ISA the OEIC into their ISA’s
Would Simon be willing to sell and re-purchase some of this shares each year if it helped wash out the gains
Would Simon be willing to assign some of his shares to Grace to use her CGT exemption
Would Simon be willing to assign segments/his share of the offshore bond to Grace to make use of her unused BRB
Would S&G be prepared to assign some of the segments to H&E
Identify the additional info req’d to establish the strategy to repay the mortgage by the time they retire
Any early redemption penalties
How much they overpay each year without a penalty
Do they plan to remain in the house or downsize
If they plan to downsize, when do they plan to dothis
How much are they prepared to commit toward this objective (priority)
Are they prepared to use any of their existing investments to help repay the mortgage before they retire
How important is it they retire when Simon is 60
