With the Budget approaching, now is a good time to review your financial plans and ensure they remain aligned with current rules. We can then revisit them once the announcements are made.
Leaving everything until the end of the tax year can create unnecessary pressure. Planning ahead gives you more flexibility and means you can make considered decisions rather than rushing to meet a deadline.
Are you making the most of your allowances?
Your annual allowances can be valuable, but they can also be easy to overlook when life is busy.
Your ISA allowance allows you to save or invest up to £20,000 during the tax year, with interest and investment gains sheltered from UK Income Tax and Capital Gains Tax. Using your allowance earlier in the year also gives your money more time to potentially grow. There’s also a reason to make the most of your Cash ISA allowance sooner rather than later. From 6 April 2027, the annual Cash ISA limit for under-65s will reduce to £12,000, although the overall ISA allowance will remain £20,000.
What about the children’s savings? If you have children, a Junior ISA (JISA) could provide a tax-efficient way to build savings for their future. Contributions can be made by you or others, making it something the wider family can contribute towards.
Could your pension be doing more? Pension contributions benefit from tax relief and, depending on your circumstances, may also reduce your taxable income. Rather than waiting until March or April to make a large contribution, spreading your contributions throughout the year can make saving feel more manageable and easier to plan for.
Have you thought about your investments?
The middle of the tax year is also a useful point to review your investments. If you have investments outside tax-efficient wrappers, it’s worth considering whether you could make use of your available Capital Gains Tax allowance. The rules and allowances can change, so understanding your position early can help you plan rather than react.
More broadly, are your investments still aligned with what you’re trying to achieve? Your goals may have changed since you last reviewed them, even if your investments haven’t.
Is your financial safety net strong enough?
Building wealth is important but protecting it matters too. If you have a mortgage, children or other financial commitments, what would happen if your income suddenly stopped because of illness, injury or death?
It’s easy to focus on saving for the future while overlooking the protection that helps support your family if life doesn’t go to plan. Reviewing your life, income protection and other insurance needs can help identify any gaps before they become a problem.
Why wait until the last minute?
There’s no need to wait for the end of the tax year to start thinking about your finances.
Taking a little time now can help you understand where you stand, make better use of your allowances and identify anything that needs attention. It can also give you time to consider your options without the pressure of a looming deadline.
If you’d like to review your pensions, ISAs, investments or protection needs, talk to your Finli Planner. They can help you look at the bigger picture and build a clear, considered plan, so you can make the most of this tax year without the last-minute rush.
The value of investments can go down as well as up, and you may not get back the full amount you invested. The past is not a guide to future performance and past performance may not necessarily be repeated.
