The Final 5%

A few client conversations have highlighted the importance to me this week of what I call ‘the final 5%’.

What I mean by this is that the majority of clients that we work with are very financially knowledgeable. They often have a good understanding of things like the Pensions Lifetime Allowance or Inheritance Tax Gifting Rules. They know 95%.

Where our professional expertise really adds value is in the ‘final 5%’. These are the quirks in the rules that are not often reported in the media or in ‘guides’ that you find online. These are the little pitfalls and stumbling blocks that people often get caught out by.

I have had 3 conversations with clients this week, where, were it not for that ‘final 5%’ that we bring to the table, the client might have made a serious mistake, in some cases causing significant additional tax liabilities or inviting an investigation from HMRC.

In all 3 cases, the clients existing understanding of the issue at hand was very good (certainly better than the vast majority of the population I would wager), but they were just missing that ‘final 5%’. The subtle little details that make all of the difference.

In one other case, that ‘final 5%’ turned what was already a very good idea, into a spectacular one, in this example, our expertise more than doubled the potential Inheritance Tax saving for a client, just by making a slight change to the planning that they were proposing.

We are here to serve our clients and to optimise your financial position. So, if you are thinking of implementing some new planning in the next few months, why not run it past us first. It’s all part of the service, and, you never know, that final 5% might actually create ideas that are 100% more effective!

If you have any questions, please get in touch.