subject: January VAT Increase Could Hit Hard in Retirement [print this page] January VAT Increase Could Hit Hard in Retirement
With the planned VAT rise in January, it is believed that the spending power of retirees will be greatly reduced, meaning day to day living could well become a lot more expensive as a result. With a harsh winter also predicted, increasing fuel prices on top of the VAT rise could hit hard and many in retirement will find their pension quite simply won't stretch.
Combating an Increased Cost of Living
One option that could be worth pursuing, once other alternatives have been explored, isequity release. The value built up in a property can be released, tax free, as a cash lump sum or a reserve of a set amount that can be accessed as and when needed for a certain length of time or until it's used up.
Providing aSHIP equity release plan is chosen, or one that offers the same guarantees, homeowners can rest assured they will get to stay in their property for life and will never owe more than it's worth.
Equity release, in the form of a home reversion plan or lifetime mortgage, could help relieve the worry of not having enough money to live on in retirement. Whether it's to meet day to day expenses or increased heating bills, or to make life more enjoyable with enough money to spend on holidays and leisure, anything is possible withequity release.
Equity release may involve a lifetime mortgage or home reversion plan. To understand the features and risks, please ask for a personalised illustration.
welcome to Insurances.net (https://www.insurances.net)
