![]() The gain (profit) you make on the capital value is taxable too.Income from property is taxable the same as other investment income, so you could pay 20%, 40% or even 45% tax on the rent.Buying and selling property costs thousands in fees, and all these costs diminish your profits.Every year you need to budget for general maintenance, and every 5-10 years for more major refurbishment.Compared with pensions and other savings vehicles, investing in property has other downsides too: However property is subject to cycles just like everything else. This works for many people because they understand property and can see the asset there each time they drive past it.īetween 19 property had a long steady period of growth in the UK. Others buy properties to rent out and create an income stream this way. Some people think that their business will provide a pension in retirement, but what happens if you retire in a recession? So how much should you aim to save for retirement? We can help you calculate how much you need to live a comfortable and secure future, and then create a plan tailored to what you are able to afford. After your death the rest of the pot can go to your spouse or children.You still have the option to buy a guaranteed income using an annuity.You can draw the rest any time after 55 flexibly, but subject to income tax.When you retire you can take 25% of the fund tax free.You won’t pay any capital gains tax on your investment growth. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |