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As part of our latest enhancements to Elevate, we're adding new features to help you and your clients get the most from the new pension freedoms and make Elevate even easier to use.
Instant access to important information
New summary screen to provide quick access to key information as well as a more efficient overview of your client's account.
Quick and easy access to key information, including:
Visualise clients’ drawdown arrangements
New PIA Income Summary that can be used with clients to aid income and retirement planning discussions.
Offering you an overview of your clients' drawdown arrangements and the income being paid, you can see the before and after effect of a one-off income payment or any changes that you make to regular income from a drawdown arrangement.
It also provides projection illustrations to help you see what their pension may be worth in the future, and a comparative lifetime annuity quote to help illustrate the effect of income being taken.
Clear communications for your clients
Through consumer testing we've simplified the three most frequently used client facing outputs.
We've updated our Charges information document, Welcome letter and Payments out document to:
Easily review clients’ death benefit options
We've made it easier for you to set up, record and view your clients' death benefit options, so you can be confident their funds will be passed on in the most tax-efficient way.
Enhanced auto-disinvestment functionality
We've enhanced our auto-disinvestment functionality to allow investments held in model portfolios to be sold automatically, when there is insufficient cash to cover charges.
Replacement of dividend tax credit with dividend tax allowance of £5,000
Tax will no longer be deducted at source on dividends paid from UK shares held individually or in a fund such a Unit Trust, OEIC or Investment Trust (however, distributions paid from interest bearing funds and savings interest will continue to have tax deducted). Tax payers may need to pay tax after their £5,000 annual dividend allowance has been used by completing a self-assessment tax return (but there's no additional tax to pay if investments are held in the Elevate ISA or PIA).
Lifetime allowance reduction
The platform has been updated to reflect the lifetime allowance reduction to £1m.
Aligning pension input periods
The pension input period must be in line with the fiscal year. This means clients can no longer choose a specific end date.
Tapered annual allowance for high earners
The allowance for tax relief on pension contributions will be tapered for those with adjusted annual incomes over £150,000. So, for every £2 of adjusted income over this amount the individual's annual allowance will be reduced by £1, from £40,000 down to a minimum of £10,000.
Change to taxation of pension death benefits
Where death occurs after age 75, lump sum death benefits paid to an individual will be taxed at the recipient's marginal rate (where previously 45% tax would have been applied).
Scottish rate of income tax
From 6 April 2016, the Scottish rate of Income Tax will apply to account holders living in Scotland. The rate applies to income received from employment or from a pension. It does not apply to investment income or interest payments. The overall rate will remain the same as the UK rate for the 2016/17 tax year so there will be no immediate change in the taxation pension income for Scottish residents.
However they will have a change to their tax code which is now prefixed with an 'S'. This will be shown on the P60 that we send to clients at the end of every tax year for those taking pension income and the P45 for those who have stopped taking pension income.
We will not accept transfers against your advice where the transfer is from a Defined Benefit scheme or a Defined Contribution Scheme which has safeguarded benefits.
Regular (drip feed) drawdown
Enhance the options available at retirement from the Elevate PIA.
What does this mean to you?
During the transition into retirement many of your clients may continue working to help supplement their income. Now you can offer them the ability to fund their retirement income using tax-free cash alongside their income.
With regular drawdown your clients can choose:
New business wizard
Improving your online journey.
Contract note layout
In response to your feedback we've completely overhauled the contract note layout making it easier to use.
Additional withdrawal options for flexi-access drawdown crystallisations
New options on Elevate allow you set up one-off income payments from drawdown faster, saving you and your clients time.
New Quick Quote facility
Our new improved wizard allows you to quickly see if the Elevate PIA is suitable for clients and reduces the need to rekey data.
Extra UFPLS illustrations options
Providing flexibility to make the most of new pension freedoms to access pension benefits.
Want to know more about investing through Elevate? Call us on 0345 600 2399.
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