Kate wins Chartered Financial Planner of the Year 2016

Our adviser Kate Gannon, has seen success at this year’s Personal Finance Society Finance Awards in London.

Kate was named the 2016 Chartered Financial Planner of the Year at the society's gala awards dinner on Thursday 24th November 2016, where more than 500 guests converged on Wembley Stadium to celebrate excellence across the financial advice profession.

Mrs Gannon is a Fellow of the Personal Finance Society, an education officer for the society in Cornwall and Plymouth, and was a finalist in last year’s Chartered Financial Planner of the Year category.

She said: “I am delighted to have won, this award is the pinnacle of any Financial Planner’s career.”

The Personal Finance Society recognise the contribution that Chartered Financial Planners are making to raising professional standards across the country, and the flagship award won by Kate is greatly coveted and recognised nationwide. Entrants commit to a three stage judging process designed to have each one demonstrate the wide range of skills necessary to give clients accurate, clear, effective and highly professional financial advice.

Paul Northmore, Managing Director of Manning and Company said:
“We are delighted for Kate who deserves this recognition for all the hard work she has contributed to Financial Services”.

Society Chief Executive, Keith Richards, said the excellence displayed by all award winners reflected the heightened level of expertise and professionalism within the Society’s membership.
Mr Richards went on to praise the award winners:
“[they] act as ambassadors for our profession, and they should be congratulated for their commitment to their clients as well as the profession more broadly.”

The Symposium was held during the day at Wembley, which attracted more than 800 delegates.

Autumn Statement

Our Managing Director, Paul Northmore gives his view on the Autumn Statement

It was an Autumn Statement with 'no real surprises' from the Chancellor Philip Hammond.  Here we look at the headlines and what's happening in April 2017.

Income and Salary sacrifice schemes

Salary sacrifice schemes are to be scaled back meaning that employees who give up part of their salary in exchange for goods and services, be it a mobile phone contract or gym membership, will no longer be able to have tax and national insurance relief on these items.

There will be some schemes not affected, these are:

Child care
Ultra low car emissions
Cycle to work scheme.
Pensions

Deductions taken before tax for pensions will still continue. 

If your salary sacrifice scheme is in place before April 2017, it will be protected until April 2018, with more expensive agreements carrying on until April 2018.

Personal Allowance
The amount that an individual can receive before paying tax will increase to £12,500 by the end of the current parliament -  2020.  There will be a rise to £11,500 in April 2017. The Higher Rate Threshold will rise to £50,000 by 2020-21

The National Living Wage will increase from £7.20 to £7.50 in April 2017.

Savings

The Chancellor also announced a new NS&I Investment Bond that will offer a rate of 2.2% in spring 2017. It will give savers the opportunity to put away between £100 and £3,000 and be available to those aged 16 or over.

As previously announced, the ISA allowance will be £20,000 from 6 April 2017.

Pensions - Clamp down on double tax relief

The amount that you can save into your pension pot once you have withdrawn from it has been reduced.
Under the pension freedoms from April 2015, people have been able to pay in up to £10,000 a year into their pension.  However the Autumn Statement confirms that from April once you have touched your pension the amount you may re pay to take advantage of tax relief, will now be £4000.
If you have already used the money purchase annual allowance you could now consider bringing forward any planned contributions before this is capped at £4000 in April.
Talk to your adviser about you options when dealing with pension freedoms.

Business

The statement did seem to be aimed at helping businesses and making UK investment more attractive. Corporation tax for business to continue to reduce from current 20%  to  17%.  This is now the lowest in G20.
Export finance will be doubled and £400m will be injected into venture capital firms via the British business bank, which the Chancellor hopes will reduce takeovers of British tech start-ups by foreign buyers.


What else starts in April 2017?

A reminder of the other change we have heard previously which will take affect in April.

Inheritance tax
People will be able to pass on their property to their descendants to the value of £100,000.
The new Transferable Main Residence Allowance (TMRA) will be added to the Inheritance Tax threshold of £325,000, so in total it will allow each individual to pass on £425,000 with no tax payable - this equates to £850,000 per couple.

Lifetime Individual Savings Account (LISA)
In April a Lifetime ISA will be introduced for the under 40s who seemingly do not have as good a deal as the older generation when it comes to pension provision. 
For every £4 saved in an ISA, the government will add £1 - a 25% bonus. The annual bonus can be paid up until the age of 50.

The Autumn Statement is to be abolished. In Autumn 2017, there will be an Autumn Budget and then in Spring 2018 there will be a Spring Statement responding to forecasts from the OBR. However, the government reserves the right to make tax changes in the Spring Statement if necessary.

As always, if you have any questions regarding the announcements call to talk to your adviser on 01752 837950.

Lifetime Mortgages

Do you need to improve your home, receive care at home or give your children/grandchildren the help they need?
Our appointed representative Anthony Trueman of Anthony Trueman and Co, discusses Lifetime Mortgages.

The population is living longer, that’s no surprise, but have you set aside enough to fund your retirement?

The way we buy houses has changed in recent years.
Once, it was commonplace to have paid off a mortgage towards the end of your working life but many retirees are now still making mortgage payments long after they reach the age of retirement.

A Lifetime Mortgage is a form of Equity Release where you can release some of the money that’s tied up in your home – tax-free – to spend on anything you want or need.

There could be any number of reasons why you’d like to stay in your own home as you get older, least of all being the fact you’ve grown attached to where you live and you want to stay there.
Improving the quality of your retirement with a lifetime mortgage may mean the peace of mind to plan more leisure time.

Can you afford to ignore the value that is locked in your house?

Talk to us about a Lifetime Mortgage and you may be able to borrow money secured against your home, provided it is your main residence, while retaining ownership.

As the name suggests it is a large financial commitment that’s designed to last a lifetime which is why you must take specialist advice before you commit.

As a member of the Equity Release Council our qualified advisers can help you explore alternative options.

There is certain criteria on who can take out a lifetime mortgage, so make sure you call our office and talk to an adviser.

Kate's up for a flagship award!

Great news for our adviser Kate Gannon who has been shortlisted to the final three for the Chartered Financial Planner of the Year Award.

The Personal Finance Society recognise the contribution that Chartered Financial Planners are making to raising professional standards and this flagship award will reward a practising Chartered Financial Planner.

Entrants commit to a three stage judging process designed to enable them to demonstrate the wide range of skills necessary to give clients accurate, clear, effective and highly professional financial advice.

The Chartered Financial Planner of the Year Award represents the ultimate endorsement of excellence and professional achievement.

Speaking of making the final three Kate said:
I am so pleased to have made it this far. A massive thank you to Manning and Company and to my family for supporting me.

Managing Director of Manning and Company Paul Northmore said:

We are all thrilled for Kate on her achievement.  She thoroughly deserves this acknowledgement after years of dedication to financial services.  We wish her the best of luck at the awards in November.

The awards evening will take place on 24th November. 

Administrator vacancy

We are looking for a permanent, full time Administrator to join our growing team at our office in Cornwood, near Ivybridge.  40 hrs per week.  Salary £14,000 - £16,000 dependant on experience



The position involves liaising with customers, advisers, mortgage lenders and other key service providers to reach a mutual goal.
The successful applicant will be computer literate and able to use all office based equipment. Capable of working using own initiative and able to self manage, ensuring tasks are prioritised, using the tools available

A team player, helping other members of the team as and when required, common sense approach, with the emphasis on data security which is vitally important. Excellent customer service skills, face to face and on the telephone.

The ideal candidate will have experience within the Financial Services industry.    

To apply e mail your CV to Lisa Julian, lisa@manningandco.co.uk

Self employed outlook- Raising finance

This blog post is the first in a series for business owners and the self employed.

Marc Lawson of Business Vision Accountants outlines the options for financing your business.

Every business from its commencement and through its development and growth will need finance.
The forms of finance and methods of obtaining them have substantially changed in the last 10 years so to help you I’ve set out below some brief points on the type of finance now available and guidance on how to use those choices.

Sources of finance

Peer 2 peer lending

This has now become a major source of finance for businesses. The process works by a web based company acting as the middle man between investors with money to invest and business owners who are keen to attract borrowing at competitive rates without necessarily having to resort to high street banks.

One of the biggest of these is Funding Circle. The process works by a business putting forward a business plan. Funding Circle will then credit rate that plan on behalf of its investors and publish it (assuming they give it the go ahead) on their website. After a short time the business will then have a long list of potential investors and assuming they have sufficient offers to cover their original loan request, then they simply need to give the go ahead. Funding Circle will then collect loan repayments direct from the business (so that there aren’t hundreds of individual repayments) and give out interests to the investors.

Bank loans and overdrafts

Banks are still very active in the market of lending and typically lending would take the form of an overdraft or bank loan. Overdrafts are a very flexible form of finance which, with a healthy income in your business can be paid off more quickly than a formal loan. The downside of an overdraft is they are typically repayable on demand and renewable annually so are not as certain as other forms of lending.

Many businesses appreciate the advantage of a fixed term loan. This gives them the comforts that regular payments have to be made on a loan and this makes for costing and budgeting easier. They may also feel that, the bank is more committed to their business for the whole term of the loan.

Interest rates are relatively low at the moment but banks have typically sought to charge a higher “base rate plus” so rates of 8 or 9% are still common.

EU Referendum - Don't Panic

Our Managing Director Paul Northmore reviews the commentary received following the UK's decision to leave the EU.

The people of the UK have voted to leave the European Union.
Not only is this is major financial decision for the country but this will also have wider implications for markets globally.
We have already seen an expected change with the value of the pound plunging but the message to our clients is 'Don't Panic'.

We have received articles today from Investment commentators.

It is still early days to comment confidently on the financial situation we will find ourselves in as we exit, but we are assured that the UK economy can handle this transition.

Neil Woodford has dismissed fears over the impact of the decision, concluding the long-term economic future of the country will be unaffected by the vote.

Bank of England -  'We are well prepared for this'

The Bank of England says it expects market volatility after the Brexit vote but that the UK economy can handle it.

Speaking at a press conference, Bank of England governor Mark Carney says: “Inevitably, there will be a period of uncertainty and adjustment following this result.
There will be no initial change in the way our people can travel, in the way our goods can move or the way our services can be sold.
And it will take some time for the United Kingdom to establish new relationships with Europe and the rest of the world.”

Carney added the Bank expects “some market and economic volatility” as those new relationships are struck.

He added: “But we are well prepared for this.  The Treasury and the Bank of England have engaged in extensive contingency planning and the Chancellor and I have been in close contact, including through the night and this morning.
The Bank will not hesitate to take additional measures as required as those markets adjust and the UK economy moves forward.”

What happens next?

The vote to leave followed by David Cameron’s announcement that he will resign before October's Conservative Party Conference, sets in motion a process that will trigger Article 50 of the Lisbon Treaty, the formal mechanism for withdrawal from the EU. Unless a withdrawal agreement is reached earlier, this will start a two year period of negotiation. During that time the UK will still be a member of the EU and bound by its rules and treaties.

So what does this all mean for your finances?

Mortgages

With regards to mortgages it really could go either way.
It's possible that the Bank of England may consider raising interest rates to counteract the reducing value of the pound, with the Treasury forecasting a rise between 0.7% and 1.1% in borrowing costs which David Cameron claimed may see increase of up to £1000 per year.
However in the case of a severe shock to the UK economy, the Bank of England might have to consider reducing rates. In which case, the cost of lending could fall.

House prices

According to the BBC The International Monetary Fund (IMF) has warned that Brexit could cause a sharp drop in house prices. This was on the expectation that the cost of mortgages would rise.

The Treasury has said house prices could be hit by between 10% and 18% over the next two years, compared to where they otherwise would have been. This would be good news for first-time buyers, but not so great for existing homeowners.

These projections would be incorrect if the Bank of England were forced to cut interest rates.

Pensions

In the short term we are told that Brexit is unlikely to have a significant impact on the UK pension plans. However, it will give the opportunity for the UK legislation to deviate from EU requirements in the future.

In the build up to the referendum the prime minister said that a Brexit would threatened the 'triple lock' for state pensions - the agreement by which pensions increase by at least the level of earnings, inflation or 2.5% every year.

Investments and Savings

The investment platform Hargreaves Lansdown has told its clients that it is impossible to know the long-term economic implications of Brexit on investments.
"We cannot assume an 'Out' vote will be bad for the long-term prospects of the stock market" it said.

UK shares may become less attractive to foreign investors and would therefore decline in value.  However shares may rise with company profits and with the pound weakening, exporters may benefit so the value of shares could rise.

It really is too early to say exactly what will happen.  Changes are already taking place as we write.  Please rest assured that we are keeping our eyes firmly on developments in order to advise you on your finances.

If you would like to discuss your situation please contact your adviser by email or by calling the Manning and Company office on 01752 837950 or for Anthony Trueman and Co 01822 859368.

You're married! Have you talked about finances?

Your wedding day has been and gone and now you can turn your attention to your lives as a married couple.

Have you talked about finances?  What do you want out of life?  Do you have the same financial goals as your new husband or wife?


Here's our guide to start you off in married life, for richer or for poorer.

What do you want?
Do you work to live or live to work?
You need to have the initial conversations with each other to make sure you are both thinking the same way about your finances. Money is often a big taboo subject, but having honest discussions about your wishes will establish if there are any differences in your views on how to handle your money.
Maybe one of you would like to save or have existing savings, the other may want to budget for holidays each year etc. Whichever way, be sure you are talking openly about your plans.

What's mine is yours
Do you already have a joint bank account? Will you now open one and put both your wages into one account or would you like to keep you money separate?
Many couples will have lived together for a while before the wedding so often these arrangements have already been made but after marriage you may like to reconsider or formalise your arrangements.
You may wish to consider that opening joint accounts links your credit reports.

Budget
We often find that one person oversees the finances in a marriage and sometimes this can cause friction if you have different ideas about your budget, so make a joint plan where you both understand your income and expenses. This can be as simple as listing all of your outgoings against your wage.
Do you go to the gym, do you need the latest Sky package? All these things that you may have just considered as a given need to be reviewed. What do you need and what do you want and does this fit in with your overall plans?

Protection
It's awful to think about it but what happens if the worst occurs?
Are you protected so that your mortgage and outgoings will be covered if one of you becomes critically ill or dies? If you plan to have children it’s a good way to ensure they would receive money to secure their futures if you were no longer there to provide for them.

Our advisers can talk to you about Life Insurance and Critical Illness Cover so that you have peace of mind whatever happens.

Write a will
Even if you already have a will it is likely that it will change or become invalid when you marry. If you've never had one - now's the time. A will ensures that what you have worked so hard for, passes to the people you decide at the right time.  We can guide you through the process so that you can ensure that your assets stay with your chosen people if the worst happens.

If you would like guidance on any aspect of your finances or to establish your long term financial goals together, speak to one of our advisers.

A Budget for the Next Generation

Our Managing Director, Paul Northmore gives his view on the budget.

Act now don't pay later: this was the key message on the 'Budget for the Next Generation'.

Perhaps the biggest news was the new Lifetime ISA; but there were no major changes in terms of pensions as had been contemplated.

Here are the headlines...

Savings and Investments - The Lifetime ISA

The ISA allowance will rise to £20,000 for all - but more specifically a Lifetime ISA will be introduced for the under 40s who seemingly do not have as good a deal as the older generation when it comes to pension provision.

Sticking with the mantra of 'a budget for the next generation' the Chancellor introduced a Lifetime ISA with a government bonus. For every £4 saved in an ISA, the government will add £1 - a 25% bonus. The annual bonus can be paid up until the age of 50.

This bridges the gap between those who are employed and self-employed, as the latter do not qualify for a workplace pension.

The new ISA can be used to buy a first home and savers can withdraw funds after a year, If saving for retirement it can be withdrawn after the age of 60.

Unlike restrictions on pensions, savers won't pay tax on withdrawals. The money can be accessed at any time and can be returned to an ISA account after a withdrawal.

Existing schemes such as Help To Buy can be merged with the new ISA, which is good news for those who already have savings in another scheme.

Over the next few weeks we expect to hear more about this and will update you on our social media channels.

Mashfords' workplace pension adds value for staff

Case study fact file:

• Boat builders and repair Company

• Cremyll, Cornwall

• Scheme provider: Royal London

• 31 members of staff

Mashfords is a boat builders and repair company in Cremyll, Cornwall. The majority of its work is commercial with some private clients.
The company employs 31 staff and was aware of its workplace pension obligation but as with many SMEs time was tight, and after receiving slow advice previously they contacted Steve Ansell. Steve was recommended to the company by a member of staff who was an existing client.

The staging date was originally 1st October 2015 and Mashfords deferred for the full 3 months to give the opportunity to assign a scheme so as not to complicate the company’s 2014-2015 accounts.

Three Reasons Not to Sell your Investments after a Market Downturn

Our adviser Mike LeGassick looks at the reasons not to sell and instead ride the turmoil of downturns.

Most investors are still reeling from the steep stock market drop that occurred in January 2016.
The brief mini-crash of the summer of 2015 is probably still fresh in everyone’s mind. But, many of the market declines of the last eight years, including the stock market crash of 2008, are becoming faded memories. Certainly, they were hard to go through at the time; but investors who stayed invested throughout that whole period probably can't complain. That’s because, after every decline, no matter how severe, investors recover their losses. In this case, most investors' stock portfolios have more than doubled since the market bottom in 2009.
The same can’t be said for investors who sell into market downturns hoping to stem their losses. Many who sold their holdings from 2008 to 2009, still haven’t fully recovered, and anyone who sold into any of the subsequent stock market declines has more than likely underperformed the stock market. That may be the most compelling reason to not sell after a market downturn, but the research provides a few more reasons.

'A beautiful day!' Our adviser Lisa gets married!

On 20th February our adviser of 13 years Lisa Burton was married and became Mrs Lisa Julian!

Members of the Manning and Company team joined the happy couple to celebrate their day at Kitley House Hotel.
Lisa and Richie were joined by their three children and family and friends on what Lisa describes as a 'perfect day'.

The bride chose a pretty pink vintage theme with numerous personal touches!
Guests stayed at the hotel for the weekend of the wedding.

Never off duty our Business Manager Debbie was operational in making sure the day went without a hitch!

Speaking of the day Lisa said
'It was a brilliant day and the best feeling,  I just wish I could bottle that feeling and do it all again!'

Our staff danced the night away to local band I Love Amp.
Congratulations Lisa and Richie!

Why we’re fans of the BBL

Our Managing Director Paul Northmore tells of Manning and Company's sponsorship journey with Plymouth Raiders.

Sunday's supposedly a day of rest and sometimes it's a struggle to get off the sofa after a bike ride, but once I set foot inside the Plymouth Pavilions for a Raiders' basketball game the unique atmosphere transforms the venue.

We started to sponsor the Plymouth Raiders 8 years ago. It would be easy to say what our reasons are.... We like the branded match day board or the advert in the programme (and of course that is all very nice). But being a sponsor of the Raiders continues to give Manning and Company, and me as a director, much more than that.

Is this the last call to maximise tax relief on pension contributions?

As the end of tax year approaches the window of opportunity to maximise contributions to pensions and take advantage of valuable tax relief could be closing.

Patrick Goddard discusses the possible changes to Pension contributions.

There is much speculation that the upcoming Budget will make further significant changes to the already 'much tinkered with' pensions regulations.
Pensions currently enjoy unrivaled tax benefits but the amount that can be invested has reduced steadily each year since 2010/11, particularly for higher earners.

Live for today, knowing you have planned for tomorrow

Our adviser Nick Kelly talks about his background in financial services, and his passion for helping others and preparing them for the future.

What really matters to me is making a positive impact to the lives of my clients. So let me start by telling you a bit about me, so you know what has made me the financial adviser I am.

At 46 years of age I am married with two teenage children and I've been in the financial services sector for over 20 years. During this period I have worked for some of the largest banks and insurance companies in the world, this has come with its fair share of highs and lows.

In my various roles I have had the opportunity to shape many individuals' lives. From giving them their first job in financial services to advising individuals and large companies about their financial plans and future prosperity.

I have encountered some truly inspirational people along the way, most a pleasure to deal with; but there are a few who have not appreciated my straight talking stance. I like to say it as I see it!

Teaching your children the real value of money

Research shows that our attitude to money stems from that of our parents. Did they save for the things they needed or buy products on credit? Did they make do and mend or dispose of items?

Adult spending habits are formed at the age of just seven. So in a world of invisible money where purchases are made by card or online, how can we teach our children the real value of cash, budgeting and saving to avoid the next generation getting into debt?

Children are taught the theory of money at school but it is up to us as parents and grandparents to put this into practice. We can work with our children to give them independence and confidence with money to prepare them for later life.

We start with 'Wants and Needs'. That same old debate which is key when teaching the value of goods. Establishing the difference at an early age makes for sensible spending and a good foundation for all financial decisions.

Shopping lists - ask your child to help you compile the shopping list for your food shop. Again working out what you 'need' will help them prioritise spending. When shopping you could discuss the prices of products with them and explain how you could get the same product cheaper elsewhere.