Self-employed dream could become nightmare, warns Sheffield financial planner
16 July 2014
A Sheffield financial planner is warning that the dream of setting up your own business could become a nightmare.
Jillian Thomas’ warning comes after the latest employment figures out today show that more than 400,000 more people have become self-employed in the last year alone, but on average their income is 40 per cent less than an employed person and nearly 70 per cent have no pension savings at all.
“The bad news is that too many self-employed people have other things on their mind and don’t have time for financial planning, which is crucial for their long term survival and for a decent retirement,” said Jillian.
The number of self-employed rose dramatically after the financial crisis of 2008 and according to the Government’s Office for National Statistics (ONS) 4.58 million people are now self-employed in the UK, accounting for 15 per cent of the labour force.*
But analysis by the think-tank The Resolution Foundation** found that self-employed people earn on average 40 per cent less than employees and only 30 per cent have any kind of pension.
Jillian, who is also junior vice president of Sheffield Chamber of Commerce and Industry, said: “The financial crisis may have been the jolt you needed to follow a dream or you couldn’t find a job and decided to go it alone, but this is an important time to plan, or the dream could become a nightmare.
“The self-employed don’t have many of the benefits employed people have, such as workplace pensions and sick pay. The main concern is income protection, which pays a tax-free income if you can't work due to sickness or ill health. This is vital cover, yet alarmingly few people take it out.”
Future Life Wealth Management, which is based in Renishaw, offers a bespoke financial planning service to generators and receivers of wealth, from business owners and executives to inheritors and retirees.
The company was named among the top 100 financial advisers in the country in 2013 by The New Model Adviser, which recognises firms for their qualifications, income and commitment.
Next year Jillian will take the post of president of Sheffield Chamber of Commerce and Industry, making her only the second woman president of the Chamber in its 160 year history.
Notes to editor
* Labour Market Statistics released on July 16th 2014 http://www.ons.gov.uk/ons/rel/lms/labour-market-statistics/july-2014/statistical-bulletin.html#tab-1--Employment
Attached photograph shows Jillian Thomas.
Jillian is available for interview and can be contacted on 01246 435 996 or at Jill@wealthmanagement.uk.com
Future Life Wealth Management is based at Future House, Ravenshorn Way, Renishaw. The company offers financial planning to generators of wealth, typically business owners, executives and professionals, and also to receivers of wealth, such as inheritors, divorcees, widows and retirees.
For more information about Future Life go to www.wealthmanagement.uk.com
Additional media contact: Kate Betts on 01226 766900 or 077927 64891 or at firstname.lastname@example.org