The situation
Margaret came to us six months after her husband had died. He had handled most of the financial decisions in their marriage, and the arrangements he had built up over forty years made sense for him but were now poorly suited to Margaret's situation. She had inherited a portfolio of direct shareholdings, several investment bonds, two pensions, an ISA, and a property which she planned to keep.
Her concerns were practical. She wanted clarity on her income, knowing it would last. She wanted simpler arrangements that she could understand. And she wanted to make sure that what eventually passed to her three adult children would be passed on as efficiently as possible.
What we did
The first step was simply to make the picture clear. We catalogued every holding, every investment, every account. We worked out the income each one was generating, the tax position, and how the whole structure compared to what Margaret actually needed.
From there, we simplified considerably. The direct shareholdings, which had been left to grow without much active management, were rebalanced into a properly diversified portfolio with a level of risk appropriate to Margaret's stage of life. The two pensions were reviewed, with one consolidated and the other kept where it was for valuable guarantees. The investment bonds were reviewed for their continuing suitability and tax position. We restructured Margaret's income so that the most tax-efficient sources were used first.
On the inheritance side, we worked with her solicitor to refresh the will and put in place a programme of lifetime gifting that fitted within her income and made full use of the available allowances. We took particular care to plan for the changes coming in April 2027 that will bring pensions into the estate for IHT.
The outcome
Margaret now meets with us twice a year. Her income is stable, predictable and tax-efficient. The portfolio is structured around her actual goals rather than her late husband's. The will and gifting programme are aligned with the post-2026 IHT rules, and we have helped her have measured conversations with her children about what is being put in place.
She told us recently that what she values most is no longer the technical work, but the simple fact that she now understands her own finances. That confidence, she said, is something she had not had in over forty years.
Service areas: Later life planning, Inheritance tax planning, Investment management
Names and identifying details have been changed. The work and the outcomes described are real, and reflect the kinds of situations we help clients navigate.