Search
Close search
    View all results
    Contact Us

    Tax Planning

    Find tax efficient ways to reach your financial goals

    Home > Tax Planning

    What is tax planning?

    Tax planning is the process of working with a financial planner to structure your plans in a tax efficient way.

    Everyone must pay their share of tax – but not everyone is making the most of the exemptions, reliefs and allowances available. Tax planning can become increasingly complex, which is where tax planning advice can help.

    Tax planning cannot be considered alone, but as part of the whole financial plan. Your adviser will need a complete picture of your finances, with tax planning playing a large part in your retirement plans, investing, inheritance tax and estate planning.

    Take control of your financial planning. We can guide you through the complexities of tax planning and help you reduce your tax burden.

    Tax planning advice

    There is a rising tax burden on income, with 10% of income taxpayers with the largest incomes contributing over 60% of income tax receipts (correct May 2024). Income tax thresholds have not kept pace with inflation and are now frozen, which means high earners should be aware of the tax-planning opportunities open to them.

    Looking for more information on inheritance tax, trusts or estate planning?

    How we can support you with your tax planning

    The UK tax system can be very difficult to navigate, so working with an expert to make sure you’re not paying more tax than you need to can be very beneficial. After all, if you’re saving that amount in tax, you can use it to try and achieve your financial goals.
    You could master individual aspects of the system but the trick can be understanding the combinations that apply to your personal tax planning and that’s where our financial planners really add value.

    What our experts say on tax planning

    When speaking to new clients, it’s not unusual to find that they haven’t actually utilised that year’s ISA allowance – even as the tax year end approaches. As an adviser, I would encourage you to use this at the start of the year. Waiting to use these allowances means that you’re not benefitting from the possible growth during that year. So, if you’re able to, it’s always a good idea to use them as early as possible. Paul Poulter, Independent Financial Adviser

    Tax planning strategies

    • What's suitable for you?

      What's suitable for you?

      Tax planning can help individuals, families and company owners to benefit from by current tax incentives. Which strategies will be relevant to you will depend on your unique situation, but your Wren Sterling financial adviser will always ensure that you stay compliant while you preserve your wealth.

    • Claim all the reliefs you’re entitled to

      Claim all the reliefs you’re entitled to

      It’s estimated one in six people actually overpay tax to HMRC – and so claiming all your allowable expenses and the reliefs to which you are entitled should be a key part of your tax return.

    • Making use of investment allowances

      Making use of investment allowances

      The countdown to the 5 April is the perfect time to ensure you’re making best use of your investment allowances. Actions to consider could include maximising the use of your pension annual allowance (generally £60,000 but this is an area with lots of complex rules), ISA investment limits (£20,000 for adults) and gifting rules.

    • Gifting to charity

      Gifting to charity

      You may know that you can make gifts to charity in your Will as part of your estate planning – but did you also know that you can minimise your income tax by donating to a cause you care about? You can claim tax-relief when filling out your self-assessment tax return, declaring your charitable income and reclaim any tax relief you’re owed. This can be especially useful if your income one year is likely to push you into a higher tax bracket.

    • Capital Gains Tax

      Capital Gains Tax

      Gains from almost any kind of personal possessions can be liable to CGT, including shares and investments, buy-to-let properties, second homes, and other possessions like art. A financial adviser can help work out how much you will pay. Gifting, making pension contributions and using your annual allowance can all help you mitigate your Capital Gains tax bill.

    • Don’t wait until the end of the financial year

      Don’t wait until the end of the financial year

      Don’t wait for the countdown to the 5th April to make use of your investment allowances. Benefit from investment growth throughout the year, starting by using your ISA investment limits and pension annual allowance.

    • Financial planning as a couple

      Financial planning as a couple

      Aside from being open and honest with your spouse (or civil partner), there are other benefits to planning your finances with your partner. It is possible to allocate income between spouses to maximise allowances and tax bands. Examples include the Marriage Allowance and dividend distribution between a business owner and their shareholders. Whether or not these are applicable to you will depend on your financial situation.

    Get tax planning advice from Wren Sterling

    The message is clear: if you want to reduce the amount of tax that you pay the solution is in your own hands. Planning could help you to lessen the rising tax burden – and we’re here to help.

    Set up an appointment with one of our financial advisors and get started on your tax planning.

    Get started on your tax planning

    Tax FAQ

    • What is income tax?

      What is income tax?

      How much income tax you pay will depend on how much you earn. Your Personal Allowance (£12,570 correct tax year 2024/25) is the amount you can earn without income tax. After this point, tax will be paid at your marginal rate.

    • What types of tax allowances and relief are available?

      What types of tax allowances and relief are available?

      UK Tax rules are complex. If you’re struggling to understand which allowances and reliefs are applicable to your situation, we recommend seeking advice.

    • What documents and information do I need for tax planning?

      What documents and information do I need for tax planning?

      Make sure your financial adviser is aware of all investments, savings accounts and pensions, even if they’re managed elsewhere. Omitting these could mean that their recommendations are inappropriate. Make sure your records are accurate and complete.

      Gathering the following documents will help your adviser get a clear picture of your finances; personal identification documents (such as a passport, birth certificate, proof of address), income documents, expense records, employment records, investment statements and pension records.

    • What are some tax planning strategies for small business owners?

      What are some tax planning strategies for small business owners?

      The Government provides various tax reliefs and incentives to support small business owners. This is welcome, but can be overwhelming. At Wren Sterling our Workplace service allows us to over personal and corporate financial advice to business owners, using advisers who are able to work cohesively on your behalf.

    • How do high-income earners reduce taxes?

      How do high-income earners reduce taxes?

      Tax planning is the process of working with a financial planner to structure your plans in a tax efficient way. High-income earners can develop complex plans over time, overlooking opportunities that may benefit them. Planning with a financial adviser could help you to lessen the rising tax burden – and we’re here to help.

    • How can I find a financial adviser near me?

      How can I find a financial adviser near me?

      We have network of local financial advisers across the UK, so you can work side-by-side with an expert face to face, by phone or online. Get in touch.

    The value of your investment can fall as well as rise and is not guaranteed. The content should also not be relied upon when making investment decisions, and at no point should the information be treated as specific advice. It has no regard for the specific investment objectives, financial situation or needs of any specific client, person, or entity.

    The Financial Conduct Authority does not regulate tax planning and estate planning.

    Tax treatment depends upon your individual circumstances and may be subject to change in the future.