finance for unmarried couples

Lillibet1

Hi, can anyone help please? I live with my partner. We don't want to get married. We are retirees. We both want to maximise and protect our income and capital. I only have a state pension and pay no tax. My partner has a much higher income and does pay tax. We want to know who we should speak to: a tax lawyer, an accountant or a financial advisor? thank you

HappyMJ

Lillibet1 wrote: »

Hi, can anyone help please? I live with my partner. We don't want to get married. We are retirees. We both want to maximise and protect our income and capital. I only have a state pension and pay no tax. My partner has a much higher income and does pay tax. We want to know who we should speak to: a tax lawyer, an accountant or a financial advisor? thank you

The registry office and get married.

Why do you not want to get married? If you're married you get so many more tax breaks and inheritance is so much easier between married partners.

Only married partners can claim bereavement payments and allowances from the government.

https://www.gov.uk/bereavement-payment/eligibility

You may be able to get a £2,000 Bereavement Payment if your husband, wife or civil partner has died. This is a one-off, tax-free, lump-sum payment.

You can’t get Bereavement Payment if any of the following are true:
you’re living with another person as husband, wife or civil partner

Newly_retired

You could try on here first with some more specific questions, maybe on a different board? Tax, pension, property?
What are your concerns?
Tax now?
Tax and property after the first death?
Inheritance for children of previous relationships?

With a bit more detail, there are many posters who could help.

PeacefulWaters

Post on the savings and investing board, perhaps with ages and more £ information. They'll probably be able to help you improve arrangements without needing advice.

A Virgin Money stakeholder pension in your name. £2,880 of your money plus tax relief = £3,600. Withdraw 25% tax free. Withdraw the balance upto your tax allowance each year. Leave the rest, if any, invested.

Repeat until age 75.

There's one easy way to go better off!

Peter333

Lillibet1 wrote: »

Hi, can anyone help please? I live with my partner. We don't want to get married. We are retirees. We both want to maximise and protect our income and capital. I only have a state pension and pay no tax. My partner has a much higher income and does pay tax. We want to know who we should speak to: a tax lawyer, an accountant or a financial advisor? thank you

Get married.

That is the only logical solution.

maman

Lillibet1 wrote: »

Hi, can anyone help please? I live with my partner. We don't want to get married. We are retirees. We both want to maximise and protect our income and capital. I only have a state pension and pay no tax. My partner has a much higher income and does pay tax. We want to know who we should speak to: a tax lawyer, an accountant or a financial advisor? thank you

Have you written wills? Have you children or other planned beneficiaries? Do you intend to share your property/capital or keep your finances entirely separate other than living expenses.

Homeownertobe

If he wants to protect his income then he's absolutely right in not getting married.

Lillibet1

Thanks to everyone who has commented. Some suggested we should get married. Others have asked for more detail, so I will say a little more here. My partner doesn't feel that marriage is 'necessary'. The words 'I love you' haven't escaped his lips in 11 years. He is a widower and I'm divorced, we are both in our 60's. Since I wouldn't want to commit myself to looking after such a miserable old git through disability or dementia (not would I expect him to look after me), I would like to organise our finances, so that we both get the best out of it, but that we are both able to walk away without complexity or suffering if we choose. I own 82.5% of our joint home which we are about to sell. He sold his marital home and has bought two flats. His income from pensions and the flats are about 5 times my income and I only have a state pension. Having said that we have a joint bank account, so I benefit from his income, although I buy personal things from my pension as and when I can afford them. So, it's complicated. I wouldn't know whether it would be a forum for tax, investments, inheritance, wills or what. I'm just trying to muddle through what seems to be a difficult situation because he wants the 82.5% share of our home to be 50-50 when we move on the basis that he has put money and work into the home, but this would leave me with only half a house and very little income should anything happen to him. I'd be grateful for advice. Thank you

Petra_70

Lillibet1 wrote: »

Thanks to everyone who has commented. Some suggested we should get married. Others have asked for more detail, so I will say a little more here. My partner doesn't feel that marriage is 'necessary'. The words 'I love you' haven't escaped his lips in 11 years. He is a widower and I'm divorced, we are both in our 60's. Since I wouldn't want to commit myself to looking after such a miserable old git through disability or dementia (not would I expect him to look after me), I would like to organise our finances, so that we both get the best out of it, but that we are both able to walk away without complexity or suffering if we choose.

I own 82.5% of our joint home which we are about to sell. He sold his marital home and has bought two flats. His income from pensions and the flats are about 5 times my income and I only have a state pension. Having said that we have a joint bank account, so I benefit from his income, although I buy personal things from my pension as and when I can afford them.

So, it's complicated. I wouldn't know whether it would be a forum for tax, investments, inheritance, wills or what. I'm just trying to muddle through what seems to be a difficult situation because he wants the 82.5% share of our home to be 50-50 when we move on the basis that he has put money and work into the home, but this would leave me with only half a house and very little income should anything happen to him. I'd be grateful for advice. Thank you

Are you serious?

Why on earth are you together?

Sell the house, get your 82.5%, then get your own place and move on.

This sounds like a terrible relationship.

Keep_pedalling

This sounds like a partnership of convenience rather than a loving relationship, so yes you should not get married. Under the circumstances there is little you can do as far tax is concerned unless you came to an agreement to split the house 50/50 with him and for him to do the same with his flats so you can also split the rent, although because you are not married that could leave him with a capital gains tax liability.

The important thing you need to do is to cover inheritance issues. If you go first who would you want to benefit from your estate? If it's anyone other than your partner then you must make sure the new property is held as tenants in common, otherwise your share automatically transfers to him.

Time for each of you to independently have a chat with a solicitor to make sure that your wills and property ownership is correctly drawn up.

enthusiasticsaver

How on earth do you own 82.5% of a house? If you are selling and buying another property make sure you have a lifetime interest in it if it is bought as tenants in common (50/50). This ensures if anything happens to him you cannot be forced out by his beneficiaries. This needs to be done by a solicitor.


Do either of you have children?


Also this does not sound like a healthy loving relationship. Are you sure that you want to continue living with this man?