Pension freedoms are being compromised

Here in Spain, I hear no end of horror stories regarding the country’s financial institutions and laws. Unfortunately, I too have been on the receiving end of unscrupulous and downright unfair treatment, but last week a client of mine of over four years called me in distress. For the avoidance of doubt, this is a true story.

My client is 86 years old and, sadly, her husband died eight months ago. Over four years ago she followed our recommendation of investing in a purpose-built Spanish portfolio bond with both her husband and her as lives assured. This meant that should either partner die before the other, the bond would continue as if nothing had happened, thereby not triggering a Spanish Inheritance Tax calculation. In Spain unlike the UK, there is Inheritance Tax between spouses, however, because this particular bond is held outside Spain it avoids inheritance tax. This is a tool that we often use for clients in Spain.

In the UK, the first week of October is National Work-Life Week, which encourages employers and employees to look at how they can improve their well-being at work and strike a healthier balance between family life and their job. The aim is to help reduce stress among a company’s workforce by offering more flexible ways of working, allowing workers to have time for other priorities in their life.

Of course, it’s not just in the UK where this is an important issue. Many workforces worldwide could do with a better work-life balance, and if you are soon to be moving to another country for work, it’s likely you’ll be wondering what the work culture is like. After all, spending long hours at your workplace without much else to do in your free time may mean you miss out on some of the best aspects of moving to a new country, such as forming a new circle of friends. And too much neglect of your personal life may end up affecting your emotional well-being and this is often one of the main stress factors expats have to deal with.