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Job opportunities rapidly accelerate in France

The report did note, however, that some French regions have experienced a lot more job growth than others, which is useful to bear in mind if you’re planning to be one of the British expats who move to France for work.

Unsurprisingly, the area that saw the most growth in job opportunity was the Ile-de-France region, which includes Paris and the surrounding area. This region saw an incredible increase of 75% in job offers.

Other regions were not too far behind, though. The Northwest saw substantial growth; Normandy saw a 59 per cent increase, Brittany saw 57 per cent, and Occitanie, located in the South West, had 50 per cent more job offers than in 2016.

As for individual cities, Paris, again unsurprisingly, was top, followed by Rennes (53 per cent), Strasbourg (47 per cent), Bordeaux (46 per cent), Toulouse (44 per cent), and Lyon (39 per cent).

David Beaurepaire, from RegionsJob, explained that the French labour market started to get on the road to recovery at the end of 2015, strengthening at a higher rate over this past year. Beaurepaire said that this was a result of “business owners gaining back confidence” and because of tax reforms that are beneficial to businesses.

And the situation looks like it will only improve. The country’s president, Emmanuel Macron, is set on boosting the country’s economy, and, in his first budget, unveiled several pro-business policies, such as reducing the wealth tax to make France more attractive to investors.

The news may not be beneficial to all expats, though. Many British expats in France moved there to retire, with statistics from INSEE categorising 70% as not in employment. But to those who do plan to work in France in the future, knowing about the most dynamic areas is invaluable knowledge.

Of course, lucrative employment is important so you can build up a healthy pension pot, but to get the most out of your retirement savings, there are other steps you can take. There are several ways to make your money grow, but it will require some smart decisions on your part.

As has been made clear from recent pension studies, solely relying on your country’s state pension system is not a wise idea. While workplace pensions are invaluable, and the introduction of Auto-Enrolment is a fantastic way to get more people saving for retirement, you also need to consider taking personal control over your pot.

Luckily with the help of a financial adviser, any retirement saver can learn to do what is best for their money. One particularly attractive option, whether you’re already enjoying your retirement or still working towards it, is transferring your pension into a self-invested pension plan (SIPP). A SIPP is a great way to get more out of your pot and allow you to have greater control over your savings. Providing you with more flexibility over your investment options, a SIPP will allow you to pool your pensions into a single pot and later draw income from it.

A SIPPs in France may be the perfect solution to living out a long, happy retirement in the country. Contact a Blacktower adviser today to discuss your options so that you’ll be well equipped to reach all your financial goals.

This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.

Other News

Final salary pensions – why now is a good time to cash in

Juicy lottery-sized sums are being offered to savers to tempt them out of gold-plated workplace pension schemes and into personal plans. We’ve explored whether you should consider taking a final salary pension, as well as the benefits and drawbacks of withdrawing.

What is a final salary pension?

A final salary pension, sometimes referred to as a gold-plated pension, is a special style of retirement fund that is based on your final or average salary.

The main difference between this and a defined contribution pension is that a final salary scheme gives you a guaranteed sum annually for the rest of your life when you retire.

To work out the value of your final salary scheme, consider a few factors: 

  1. Your final or average salary at your place of employment (confirm this with your employer)
  2. Your length of service
  3. The final salary scheme’s accrual rate (this is often 1/80th)

Your final salary pension will take each factor into account, and the resulting figure will be the guaranteed annual sum you are entitled to.

For instance, if you worked somewhere for ten years, and leave on a salary of £100,000, with an accrual rate of 1/80th, you will have a guaranteed retired annual income of £12,500.

It is possible to undertake a final salary pension transfer. Depending upon how long you expect to enjoy retirement, this could be a favourable choice. However, it’s important to consult a financial advisor to make your final salary pension transfer values work harder.

What are the benefits of transferring a final salary pension?

Assessing your final salary pension transfer value, you might consider it worthwhile to withdraw. We’ve outlined the main benefits of taking your final salary pension:

Receive the cash value of your final salary pension

Withdrawing from a final salary scheme allows you to receive a cash lump sum in return for forfeiting your guaranteed income in retirement. This final salary pension transfer value is the main reason to withdraw from a scheme, as it offers you financial freedom.

Remove ties with your employer

This is an especially important point if you’re concerned that your employer may not exist throughout your full retirement. For most, the pension protection fund (PPF) will cover your pension, but, for especially high earners, there is a PPF ceiling of £41,461 (as of April 2020).

Enjoy a flexible income in your retirement

A final salary scheme entitles you to a guaranteed annual income when you retire, but if you go down the route of transferring your final salary pension you will be able to enjoy a little more flexibility in how you receive your income. Usefully, by withdrawing from your final salary scheme, you can choose to take more out in your younger years.

Choose how you want to invest your pension

A final salary scheme is controlled tightly to accommodate all employees and their interests. When withdrawing from the scheme, however, you can take complete control over how your pension fund is invested.

The considerations you should make before transferring your final salary pension

While there are certainly benefits of going down the route of transferring final salary pension funds into various other pots, it’s important to consider what you’ll be giving up:

  • Entitlement to a fixed annual income for the rest of your life
  • A safe income that doesn’t fluctuate with volatile markets and share prices
  • Spousal and family benefits that come with a final salary scheme

 Example: Should I cash in my final salary pension?

An example is Mrs Dee (not her real name), 4 years ago she asked for her final salary transfer values, which came in at £250,000 – a nice sum, you may think. After reviewing all the facts and figures available, however, I advised Mrs Dee to leave her final salary pension where it was, which she duly did.

Towards the end of last year, because of favourable market conditions, I applied again to see the value of transferring her final salary . This one came in at just under £600,000.

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Cayman Islands Wooing International Investors

Profit graphProfessionals working in financial management in the Cayman Islands have many regional and jurisdictional advantages that they can bring to the benefits of their clients’ portfolios, whether they are standard retail investors who have built their wealth through pension schemes, diligent individual savers or institutional investors who are looking for a desirable place to do business.

These are all undoubtedly factors in why, according to the Cayman Islands General Registry, the number of Grand Cayman-registered companies recently reached an all-time peak, with steady growth in Grand Cayman investment on the part of expats just one of many causes behind the growth which also saw Cayman GDP rise by 2.8 percent in 2017, with a further 3 percent rise predicted for 2018 figures.

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