Are you saving enough for your retirement?

If you are relying on the State pension for your retirement income, you may be disappointed, since it provides little more than the bare minimum!

To give your savings time to grow, it is important to invest adequately for retirement as early as possible. Once you reach your 50s, you may be at your earnings peak, have fewer family responsibilities, and mortgage costs as a percentage of income may be lower. Therefore, you can seriously focus on building retirement savings and assessing how much you will need to have invested to provide for the retirement you deserve.

Investing in a pension scheme, whether a company or a personal scheme, allows you to enjoy tax breaks on your pension savings. These are tax reliefs as you invest, and a partially tax-free regime for your savings. Your employer can also contribute and obtain tax relief.

Scheme managers can provide pension forecasts, to help you judge whether you are saving enough, and what additional savings you might have to make in order to generate the income you will need in retirement.

Pension contributions based on 2007/08 earnings must be paid by 5 April 2008. Tax relief will be at a maximum of 40%, and the maximum investment is an amount equal to your earnings or the annual limit (£225,000 for 2007/08), whichever is the smaller.

While you are waiting for your pension forecast from your pension provider, why not begin to put together a forecast of your spending needs, post-retirement, starting by looking at what you are really spending now?

Only by comparing the two forecasts will you be able to say with any certainty that your retirement savings are on track.

With an eye on your retirement: is your Will up-to-date?

If you are reaching retirement age it's possible that many years have passed since you made your Will. Your own financial circumstances may have changed, children will have grown up and grandchildren will be starting school - perhaps even reaching their teens.

You may have moved house several times, you may even be considering down-sizing, or a move to the country or seaside.

Your Will is one of the most important documents you will ever draw up, and yet people are often complacent - as many as 80% do not have Wills. Your Will is your 'last word' - your opportunity to spell out exactly how you want your estate to be divided, what gifts you want to make, and to whom. It is also your last opportunity to be tax-efficient. Nil-rate band trusts can save up to £124,000 per married couple, charitable gifts can be made free of inheritance tax, wealth can be made to skip generations, and although there may be a tax cost, Will trusts can operate to protect family wealth.

We can advise you on all these aspects - call us to discuss your concerns. But please, most importantly:

• if you have a Will, keep it up-to-date
• if you do not have a Will, make one.

ISAs - don't forget the deadline

Gains and most income in Individual Savings Accounts (ISAs) are tax-free, and they are ideal for saving small, regular amounts.

With a limit of £7,000 on annual savings, you have until 5 April 2008 to make your 2007/08 ISA investment. A couple could make an investment of £14,000 this year and a further £14,400 on or after 6 April 2008 when the limit increase from £7,000 per annum for an individual to £7,200.