Relying on an increase in interest rates has proven misguide. The prospect is now for even lower returns on Cash ISAs and cash deposits.
This new reality must certainly be part of the decision to take money as Pension Income Withdrawal, as is the desire to assist the next generation in getting a foot on the property ladder.
Unfortunately a lack of professional advice is leading to some potentially disastrous outcomes. Professional advice costs but making the wrong decision can be much worse.
To avoid a bleak future it is imperative to have a clear picture of how long your assets are likely to last. Equally important to ask some searching questions, such as :
If I provide funding for my children/grandchildren do I know who could potentially benefit? Could a currently happy relationship end in a divorce?
Could the money be taken away due to bankruptcy?
Will my children be prepared to pay for my care in return for my financial help?
Is there a different way to help them now and still keep a sustainable income for me?
The future is uncertain but using intelligent assumptions and letting the head rule the heart can lead to better outcomes, more certainty and a secure future for you.