Informed Choice Radio Personal Finance Podcast

In this episode of the Informed Choice Podcast, Martin answers listener personal finance questions. If you’re new to the Informed Choice Podcast, this might not be the best episode to start with. Most of our podcast episodes are a different format this; either our weekly episodes on a Friday which take a deep dive into a particular topic, or our mid-week expert interviews. Listener personal finance questions -Do I need a financial planner or a stockbroker? I need some help managing my money and making investment decisions for the future. Is there is a difference between financial planners and stockbrokers, or are they just different names for the same thing? -I run a small business with 6 employees and have been sent letters about the new pension rules. I have to set something up by July or we risk being fined. Which pension provider should I choose for my company pension scheme? -I like the sound of the new lifetime ISA. Can I open one for my 3 year old son? With the way house prices are going, I’m worried he won’t be able to afford to buy a property when he is older unless we can afford to give him a lot of financial assistance. The new Lifetime ISA seems to be a good way to save for him and give him a helping hand onto the property ladder. -How much money do I need to have to be able to afford to retire? I’m 43 years old and want to retire by the time I’m 60. What’s a sensible target to save? -I’m 58 and planning to retire in about five years time. My pension fund is currently invested in a fairly aggressive mix of funds. Is now the right time to start cutting back on the level of risk and moving it to more conservative assets? -My financial adviser is recommending that my wife and I transfer all of our pension plans to a single provider. Is this a good idea? We’ve got eight pensions between us, from previous employment and periods of self-employment in my case. Should we really be putting all of our eggs in one basket? Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.      

In this episode of the Informed Choice Podcast, Martin talks about the latest research in the world of long-term care and dementia. There is also a roundup of the latest personal finance news and an update from the world of Informed Choice. Latest long term care & dementia research In this episode of the Informed Choice Podcast, Martin talks about a few subjects related to long-term care. This is a specialist advice area for Martin and it is becoming increasingly important with our ageing population. As a result of our longer lives, more of us are likely to need long-term care in later life. Martin talks about three reports in this episode of the podcast, starting with Situation Critical, with was recently debated at The Astellas Innovation Debate. This challenges current perceptions of long-term care support from government in later life, with two-thirds of those surveyed expecting to receive free, high quality social care from the goverment. Martin move on to discuss a blog by Dr Sabine Best, Head of Research at Marie Curie. This examines new research which found people with advanced dementia in care homes across the UK don’t always receive the care they need at the end of their life. He finishes by looking at a report by Natural England published earlier this month, Is it nice outside? Consulting people living with dementia and their carers about engaging with the natural environment. Interaction with the natural environment is an important aspect of quality of life for people living with dementia.   Personal finance news update -Leaving the European Union could cost Britain £100bn and 950,000 jobs. -The average asking price for a property coming onto the UK market has reached six record highs in the past year. -Price inflation has remained static in February at 0.3%. -The manufacturing sector is still in recession, according to the Confederation of British Industry. Get answers to your personal finance questions Do you have a personal finance or investing question for Martin? Email martin@icfp.co.uk or ask on Twitter @martinbamford. You can call our dedicated podcast voicemail line on 020 8144 2745 with your question or visit www.speakpipe.com/InformedChoicePodcast to leave an online voicemail. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.

In this special episode of the Informed Choice Podcast, Martin chats to Alistair McQueen about Aviva’s Voice of New Retirement Report. The Voice of New Retirement In this interview, Martin asks Alistair about the background to the report and why it was commissioned. They talk about Aviva’s Happiness Index; what does it measure and how do happiness levels change in retirement?  New retirees increasingly feel more in control of their lives. What does vision have to do with this and what role can planning play in putting you in control in retirement? According to the report, retirees are generally quite content with their health in later life. But what are the three big health fears people have in retirement? Martin and Alistair also talk about leisure time in retirement; it’s not all about reading books, gardening and walking holidays. Aviva found there is a real appetite for adventure in retirement too. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.

In this episode of the Informed Choice Podcast, Martin talks about a Budget for the next generation. Budget for the next generation  This episode of the Informed Choice Podcast is a Budget special, recapping the main personal finance and investing measures announced earlier this week in the Budget. Martin breaks this down into the five main areas of the economy, pensions, taxation, savings and business. He also covers some of the miscellaneous Budget measures announced this week. This was a politically important Budget with the EU referendum looming in June. Chancellor George Osborne had to balance a desire to impose radical reform on the pension system with keeping Tory backbenchers happy.  His Budget was presented against a backdrop of challenging global economy, with the Office for Budget Responsibility cutting their UK economic growth forecasts, again. It has been described as a Budget for the next generation, with the introduction of a Lifetime ISA designed to encourage younger people to save for the future. What did you make of the Budget? Email Martin at martin@icfp.co.uk or get in touch with him on Twitter @martinbamford to share your thoughts. Personal finance news update -The shopping baskets of goods and service used to calculate price inflation have been updated. -The Financial Advice Market Review has been published by HM Treasury, making 28 recommendations to reform the market for financial advice. -Women could be given early access to the State pension, if proposals put forward by a committee of MPs are accepted. -Nursery costs for one and two year olds may increase substantially when free childcare for older children is increased from 15 to 30 hours a week. -The Royal Institution of Chartered Surveyors has forecast that the UK residential housing market will slow down over the next quarter. -The Bank of England has kept interest rates on hold at 0.5%, again. -Donald Trump becoming the new President of the United States is one of the top ten risks facing the global economy. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.

In this episode of the Informed Choice Podcast, Martin talks about sexually transmitted dementia and staying healthy in retirement. There is also a roundup of the latest personal finance news and an update from the world of Informed Choice. Sexually transmitted dementia Could Alzheimer's disease be sexually transmitted? A worldwide team of scientists are warning that microbes including the STD chlamydia could be the major cause of dementia. This refers to an editorial in the Journal of Alzheimer’s Disease, suggesting a viral or bacterial infection could trigger the plaque build-up in the brain responsible for some forms of dementia. The editorial is particularly interesting because it makes reference to the gene mutation APOEe4. This makes people more susceptible to Alzheimer's Disease but also raises susceptibility to infectious disease. Another study found that most people are unaware that a healthy lifestyle can help prevent Alzheimer's in later life. This is a new survey by Alzheimer’s Research UK, which was designed to raise awareness of how the disease is not an inevitable part of ageing. They found that a quarter of adults in the UK knew that simple lifestyle changes can affect their chance of developing Alzheimer’s Disease. There are various ways to lower the risk of dementia, including rating a balanced diet, exercising regularly, drinking moderately, not smoking, and maintaining weight, blood pressure and cholesterol levels. These two stories come at a time when the government is campaigning to encourage unhealthy middle aged people to improve their lifestyles in order to enjoy a healthy retirement. Public Health England's One You campaign is urging the over 40s to drink less, exercise more, eat better and give up smoking. Personal finance news update -The European Central Bank has cut its key interest rate to zero, with a larger than expected package of monetary easing. -A snap poll of UK financial advisers has revealed that the majority of advisers who responded to a survey on the stay/leave EU referendum want to stay part of the European Union. -More than two million elderly Brits feel trapped in their homes, according to new research. -Energy bills could be about to fall, after the Competition and Markets Authority proposed a new price cap for households using pre-payment meters. -Singapore is the most expensive city in the world in which to live, according to new research by the Economist Intelligence Unit. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.

In this special episode of the Informed Choice Podcast, we bring you a talk by Chris Budd about creating financial peace of mind. Chris delivered this talk at the Cranleigh Literature Festival on Friday 4th March ahead of the publication of his new book, The Financial Wellbeing Book. Creating Financial Peace of Mind In his important talk about creating financial peace of mind, Chris Budd shares the five main areas of well-being, with a focus on financial well-being. He helps us redefine success, moving away from the notion it is all about money and fame. In fact, social factors are a better definition of success and can even help us live longer, healthier lives. Chris explains the five parts to financial well-being, talking in detail about two of these; a clear path to achieving identifiable goals and having control of daily finances. He talks about how knowing what you want out of life and having a financial plan to get there can make you happier. Chris explains why he isn't a fan of the word 'goals' and what he prefers instead. He shares the secret to spending money in a way which can bring happiness, with a more lasting impact than the buzz we receive from retail therapy. Chris also explains why you should stop watching television advertising, why taking his family to Copenhagen increased their long-term well-being and the importance of putting money aside for the future you have mapped out. You can pre-order Chris Budd's new book, The Financial Wellbeing Book: Creating Financial Peace of Mind, now on Amazon. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.

In this episode of the Informed Choice Podcast, Martin talks about rethinking the state pension age.  There is also a roundup of the latest personal finance news and an update from the world of Informed Choice. Rethinking the state pension age How old will you be before you get your state pension? The government has launched a review into the state pension age and system.  The review will be chaired by Sir John Cridland, the former head of the Low Pay Commission, and will assess whether the current pensions system is "affordable in the long-term". You might have noticed the state pension age is changing. A process of equalisation is taking place between men and women, with the pension age rising from 60 to 65 for women, and then rising again to 66 for men and women. It is due to rise further in the future; to 67 between 2026 and 2028, and to 68 between 2044 and 2046. Their is speculation the government review could result in an even higher state pension age as high as 75. We might even see the end of the "universal" state pension, with it instead based on occupation and region.   Personal finance news update -Business leader John Longworth, head of the British Chambers of Commerce, has said the UK's long-term economic prospects could be "brighter" outside the European Union. -Labour leader Jeremy Corbyn has called for reform of the banking industry and warned it not to treat customers as “cash cows”. -The UK services sector recorded its weakest growth in nearly three years in February, according to a new survey. -Strategists at Barclays believe the era of zero or negative interest rates could continue for several more years. -US jobless claims rose unexpectedly last week, but the underlying trend still points to a strengthening labor market. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.

In this bonus episode of the Informed Choice Podcast, Nick chats to Keith Richards, Chief Executive of the Personal Finance Society, about Chartered Financial Planner status. Keith Richards has over 30 years experience within financial services operating at executive level across both manufacturing and distribution. He has an established media profile and is a visible figurehead within the intermediary sector, regularly called upon for comment on UK financial services matters both home and abroad. Keith was appointed Chief Executive of the Personal Finance Society in May 2013. In addition to guiding the strategic evolution of the society he has evolved a greater government and regulatory engagement, brought about enhancements to membership benefits and its national CPD programme and introduced a number of key consumer facing initiatives - the Consumer Confidence and United Profession Campaigns being such initiatives that have been embraced by the majority across the advice profession. Nick spoke to Keith Richards about the Personal Finance Society and how it differs from a trade body. They talk about what individual financial advisers have to do in order to become a Chartered Financial Planner. There is also a chat about what firms need to do in order to qualify for corporate Chartered status, with even higher standards being introduced from next year. Nick asks Keith what value the Chartered Financial Planner status delivers to the consumer of retail financial services and what he feels the future looks like for consumer access to professional financial advice. Find out more about the Personal Finance Society at www.thepfs.org or visit their consumer website at www.thepfs.org/yourmoney Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice.

Big changes are being made to the pensions lifetime allowance and annual allowance in April 2016. In this episode of the Informed Choice Podcast, Martin talks about these important changes for pension savers and what you can do about them. There is also a roundup of the latest personal finance new and an update from the world of Informed Choice. Lifetime allowance and annual allowance changes in April 2016 The lifetime allowance is a limit on the total amount of pension benefit that can be drawn from all pension schemes, either as a lump sum or retirement income, without paying an extra tax charge. It currently stands at £1.25m and is being reduced to £1m on 6th April 2016. People with large pension funds or large pension benefits have some options to consider for protection against this lifetime allowance reduction. In the podcast, Martin talks about Individual Protection 2016 and Fixed Protection 2016, and how these two forms of protection works. The annual allowance is the maximum you can save into a pension fund and receive tax relief. For the 2015/16 tax year, this is £40,000. It’s also possible to carry forward any unused annual allowance from the previous three tax years. From April 2016 onwards, higher earners will have a restricted annual allowance. The annual allowance will be tapered down from £40,000 to £10,000, depending on the level of earnings. Personal finance news update -Star fund manager Neil Woodford says Leaving the EU would not necessarily damage the UK economy. -Official figures have confirmed the UK economy grew by 0.5% in the final quarter of last year. -Lloyds Banking Group has paid a surprise £2bn dividend to investors, boosting shares by 13.6%. -Royal London has warned that the Budget on 16th March could amount to ‘daylight robbery’ if the Chancellor replaces the current system of pension tax relief with a pension ISA or a low flat-rate of tax relief for all. -Average house prices have increased by more than the average employees net earnings in more than a quarter of local authority districts across the UK over the past two years, according to the latest Halifax research. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice. Follow Martin on Twitter at www.twitter.com/martinbamford or email him at martin@icfp.co.uk.

In this bonus episode of the Informed Choice Podcast, Martin chats to Justin Harper, Life & Health Specialist at LV, the UK's largest friendly society, about the 13th annual LV Cost of a Child report. The report has found that the cost of raising a child is at an all-time high, increasing by more than £2,500 in the last year alone. Some of the key figures from their research included -The average annual cost of raising a child now takes up more than a third of the average UK household’s net income. -The biggest increase over the year has been 4.3% for childcare costs. -Six in ten parents admit they’re struggling to manage their outgoings. -Half (49%) of parents don’t have a plan in place if the main breadwinner were to lose their income due to accident or illness. Do visit lv.com to find out more about their annual Cost of a Child report, which includes a useful online calculator you can use to calculate your own costs of raising a child until their 21st birthday. Martin and Informed Choice Martin Bamford is a Chartered Financial Planner, Chartered Wealth Manager and SOLLA Accredited Later Life Adviser. As Managing Director of Informed Choice, the award-winning firm of Chartered Financial Planners in Surrey, he is responsible for nearly £200m of client assets. Martin is the author of several bestselling personal finance books and produced his first feature-length documentary in 2014, about the post-war Baby Boomer generation in retirement. “Bamford excels at making even the dullest topics interesting” – Pensions Management Visit www.icfp.co.uk to find out more about Informed Choice, or follow us on Twitter at www.twitter.com/informedchoice. Follow Martin on Twitter at www.twitter.com/martinbamford or email him at martin@icfp.co.uk.