Getting a client mortgage-free with a secure retirement

The situation

This client in his late 50s was between management contracts and under pressure to service the family mortgage, causing considerable worry to both parents because they were facing a forced restructure.

Our results

We examined a UK Defined Benefit Pension Scheme that covered a PAYE employment period during the 1980s. The scheme was prepared to buy out taxable pension of €11,000 per annum at the age of 60 for a transfer value today in excess of €400,000. Our initial break-even calculations made sense, so we commissioned a formal report from a UK regulated expert firm and determined that it could be made to work, taking the transfer value into an Irish arrangement.

The result cleared the mortgage fully, leaving the family debt-free and has allowed our client to invest in a Government-backed 20 year lease in a Social Housing unit, paying a yield of 5.5% per annum. This means that rents of €14,000 replace the lost pension of €11,000, plus the family mortgage is history after being paid for from the tax-free lump sum.

Our client’s Irish scheme will hold his property and recycle the rents and residue cash into Inflation-Linked Government Bonds and there are no further letters from his bank.

 

HOW TO STEER CAPITAL THROUGH
A HIGH INFLATION ERA

(During Global Financial & Currency Wars)

Your message has been successfully sent

Unable to send.

Free Financial Bulletin for ALL who register, but to advance to become a client, CLICK below to be directed to our New Client Profile Page and we will get in touch.