Originally Posted by mikelincs

Our last 3 month bill for gas and electricity was about £250, and we thought that was a bit high, in our last place it was about £120, and yes, this is for the winter quarter.

Originally Posted by killerhales

This is an interesting thread for me too. I'm only 52, but I don't want to be working (at least as intensely as I am now) past 60. So I want to salt some money away in the next few years. Both my wife and I have "super" in Australia. She can access hers in the summer of 2014 (at age 55 in her case). We will use "drawdown" at the maximum rate possible and I will put the equivalent amount in to my company pension (she isn't working here and is not likely too).
The other thing is to put 2,880 pounds into a SIPP each year for any non-working spouse; the government tops this up for free to 3,600.

Originally Posted by dunroving

I have been looking into SIPPs recently, too, and the "tax-free on the way in" status is very attractive. For anyone who is not familiar with it (vs. an ISA, for example), the government tops up the 20% income tax you already paid (so for every £80 you pay in, you get credited with £100), and you can claim back even more if you are a higher rate taxpayer (who should be so lucky?).

At retirement (any time after 55) you can withdraw 25% as a tax-free lump sum (assuming the government doesn't change the regulations, of course!), and the remainder can either be taken as a drawdown (with some limitations on how much per year you can withdraw), or by buying an annuity, or a combination of both.

The advantage for people who are higher rate taxpayers, or those who will have a relatively low income in retirement, is that you save 25% tax (or 40%) on the way in and pay only 20% tax when you withdraw as a pension, or even less (if for example the remainder of your income is less than your tax alllowance).

Another advantage is that pensions do not count for means-tested benefits AFAIK, but savings (e.g., ISAs) are.

Plus of course the lump sum is completely tax-free ...

Originally Posted by windsong

What is a SIPP? Are they only available in the UK? I am looking for a way to have the best possible savings in the next five years so that when I retire at 65, I can live fairly comfortably. I will have US social security plus a company pension at that time but I would like to increase it. I plan to be in the UK by then

Originally Posted by rebs

Originally Posted by dunroving

Does anyone have experience with independent financial advisors in the UK? As I've said before, I have an ingrained distrust of them in general - indeed, of much of the financial industry (Google "banking crisis 2008" for additional reasons).

I have consulted two IFAs in the past. One was in the US, I really felt like he was just spouting rote recipe information, but he was happy to take a few hundred dollars for his services. The second experience was a supposedly independent mortgage advisor who similarly seemed ill-informed (I didn't pay for his services). I got the impression he probably didn't have a lot of GCSE's.

In both cases, I didn't follow their advice and the passage of time showed my instincts were right.

In the UK, I have hired the services of an accountant, who works from home, and have been very happy. For £150 he did a full analysis of my professional expenses, submitted 5 years' self-assessments, and I got about £2,000 in refunded tax. I am currently working with him on the tax issues of my retirement plans.

So, here's the point of my question. He recommended an IFA to me, who also supposedly works from home (I need some advice on various aspects of investment and the possibility of investing in SIPPS over the next 5 years). Mainly pretty basic advice, I just need some confirmation from a professional that what I think is the right course of action fits what they would recommend.

Turns out he has retired and no longer works with clients but "introduces" clients to recommended alternative IFAs. He has emailed me back to say he is happy to "host" an introductory meeting at this place. Once again, my suspicions kick in - why do I need an "introduction meeting"? Why not give me the contact details of the other IFA, and if he gets a kickback from the other guy (an introduction fee), fair enough? And why in such a posh venue?

I'm a rerelatively small fish and am already thinking back to my first experience - that unless the advice makes a huge difference by exposing me to some trade secrets that I can't figure out from moneysavingexpert, the cost of this service going to far outstrip any financial benefits.

Any experiences, anyone? Or advice?

Originally Posted by mickok

Dunrovin,

I wonder if I can pick up on your comment about finding an accountant to handle your US/UK taxes? Do you have any advice for someone just returned to the UK after 35 years in the US to find someone suitable? We're relatively low income but we have the complexities of combining self-employed income (US and UK) with a small US pension. We also have some 401-k savings and US Social Security income which will kick in later. We'll need some financial advice too but right now I just want to be sure we're handling our taxes correctly as we get started.

Originally Posted by dunroving

I did find a local accountant who is retired and works from home. he was fine, and in fact I got a tax refund. However, I didn't really have any even slightly complex UK/US tax issues to deal with. When it came down to any discussions of my 401k, etc., he was pretty clueless.

I have seen several people on here say it is difficult to find someone with intimate knwledge of both UK and US tax issues - and I think when you find such a person, they don't come cheap. I saw a post on BE (in this forum, I believe) in the recent past, where someone posted the Web address of a company or a person who is good at this sort of thing - if you run a search, maybe asking for UK US and tax (all terms), it may pull up the post I am thinking of.

Sorry I can't be more help than that.

Originally Posted by dunroving

I did find a local accountant who is retired and works from home. he was fine, and in fact I got a tax refund. However, I didn't really have any even slightly complex UK/US tax issues to deal with. When it came down to any discussions of my 401k, etc., he was pretty clueless.

I have seen several people on here say it is difficult to find someone with intimate knwledge of both UK and US tax issues - and I think when you find such a person, they don't come cheap. I saw a post on BE (in this forum, I believe) in the recent past, where someone posted the Web address of a company or a person who is good at this sort of thing - if you run a search, maybe asking for UK US and tax (all terms), it may pull up the post I am thinking of.

Sorry I can't be more help than that.

Originally Posted by Jerseygirl

Is this the person you are thinking of?

http://britishexpats.com/forum/showthread.php?t=804464

Originally Posted by mickok

OK thanks, I'll check around but I've had the same experience, quite expensive services considering the small income level. I'm thinking I might just try using a UK tax accountant and a US accountant separately, and do my own research on sticky issues.

And thank you BTW for all your great posts, you have no idea how helpful you have been to us, and I'm sure to many others..
Mike

Originally Posted by dunroving

Thanks, I appreciate the positive feedback. I sometimes wonder what I am doing still hanging around on an expats Web site, but I received so much help back when I first joined and I think it is a bit of a shame when people drift away from BE after they have settled.

I've read some people say it's because they no longer need BE because they are now happy and want to "move on", but I think once you have been an expat, you will always be an expat.

Originally Posted by lf1

I am glad that you and others stick around because you have so much information to share and I think that is very valuable for those (me included) who were/are contemplating the move. You in particular have provided many well written and reasoned posts.

Originally Posted by dunroving

Yes, that's the person I was thinking of - well spotted!