Case Study: Rob & Sarah — Getting Organised, Growing Wealth & Giving Back

Luke Turner
3 days ago
4 min read

By Luke Turner, Independent Financial Adviser at Toro Wealth Planning

Meet Rob & Sarah

Rob and Sarah came to me in their mid-50s, both still working and starting to seriously consider their long-term financial future. They have three grown-up children, had just welcomed their first grandchild into the world, and were starting to feel the pull between wanting to enjoy life now and planning for retirement.

Rob had recently inherited £250,000 from his late mother’s estate and wanted to make sure it was invested wisely. Alongside that, they had a drawer full of old workplace pensions that hadn’t been reviewed in years — fragmented, poorly invested, and difficult to track. They weren’t in crisis, but like many clients I meet, they were ready to get organised.

Only 8% of UK adults have received financial advice. [Source: MoneyMarketing]

They were ready to get organised.

Objectives We Identified Together

Consolidate and improve their pension setup
Invest the inherited lump sum tax-efficiently, with partial access
Start making gifts to their grandson in a tax-efficient way
Ensure their investment approach reflected their personal preferences and values

Step 1: Pensions — From Fragmented to Focused

Rob and Sarah both had multiple old workplace pensions that hadn’t been reviewed or actively managed for years. After assessing the costs, performance, and flexibility of their existing pots, we were able to determine that it was appropriate for them to consolidate them into modern, platform-based pensions.

Rob preferred a blend of active and passive investments, which his current providers didn’t offer in any meaningful way — we selected a portfolio that offered him a cost-effective mix of both.

Sarah, on the other hand, expressed strong preferences for ethical and sustainable investing, so we were able to recommend she place her pension and ISA funds into a dedicated ESG model portfolio aligned with her values.

Everything is now in one place, easily trackable, and invested in line with their preferences and goals — a massive step forward.

Combining old workplace pensions where appropriate can give you peace of mind, and potentially give you flexibility and oversight of the pension and its investments.

Step 2: Investing the Inheritance Intelligently

From Rob’s £250,000 inheritance, we first set aside funds for immediate plans:

£15,000 for solar panels on their home
£8,000 earmarked for a European road trip next summer

That left £227,000 to invest with a time horizon of around 6–7 years until their planned retirement at age 61–62. Their spending will drop significantly next year when their mortgage ends, so they were happy to invest the rest, provided we kept a manageable emergency buffer.

We agreed to keep £25,000 in accessible cash as a reduced emergency fund based on their upcoming lifestyle shift.

The remaining funds were invested as follows:

Stocks & Shares ISAs: We topped up both Rob and Sarah’s ISAs to use their full annual allowances (£20,000 each). Rob’s was invested in a balanced active/passive portfolio; Sarah’s followed her ESG mandate.
General Investment Account (GIA): We invested £50,000 here with the strategy to 'bed & ISA' over future tax years — gradually transferring funds into their ISAs while using their £3,000 CGT allowances each year.
Joint Onshore Bond: With both being higher-rate taxpayers, we used a joint onshore bond for part of the remainder. This structure allows tax-deferred growth, and withdrawals up to 5% per year can be made without triggering an immediate tax charge — giving them flexibility and control without pushing them into higher tax brackets.

Making use of available gifting allowances in some instances can help clients save thousands in Inheritance Taxes.

Step 3: Gifting to the Next Generation

Rob and Sarah were keen to start helping their new grandchild but weren’t sure of the best way. We introduced two simple, tax-efficient methods:

Using their £250 annual small gift allowances, they now make regular contributions to a Junior ISA (JISA) set up in their grandson’s name.
They can comfortably afford this from surplus income and liked the idea of starting early with compound growth working in his favour.

The Outcome

Rob and Sarah now feel in control of their finances. Their pensions are consolidated, investments are aligned to their personal beliefs and goals, and they’re making smart use of available tax wrappers and allowances.

Their inheritance is working for them — part of it funding things they’ll enjoy now, the rest carefully invested for their retirement. They’re giving back to the next generation in a way that feels meaningful and sustainable.

If you’re in a similar position — juggling pensions, planning for retirement, or navigating an inheritance — reach out to see how we can help you bring clarity, control, and strategy to your finances.

Book a meeting with us.

Luke Turner

Toro Wealth Planning

torowp.com | luke.turner@torowp.com

Risk warnings:

This guide and the example client situations provided are for illustrative purposes only and do not constitute personal advice or a recommendation, which should be based on your individual circumstances.
The value of investments and any income from them can fall as well as rise. You may not get back the full amount invested.
HM Revenue and Customs practice and the law relating to taxation are complex and subject to individual circumstances and changes which cannot be foreseen
Please note that the Financial Conduct Authority (FCA) does not regulate some aspects of cash flow, inheritance tax, estate or tax planning