Financial positions rarely drift out of shape because of one major mistake. More often, it is the accumulation of small oversights such as unused allowances, outdated structures, or assumptions that no longer hold true.
As such, a structured review at the end of 2025 allows any issues to be identified. What better time to review than when you likely have more time off work over the Christmas period!
This checklist is here to help you focus on the practical areas that can benefit from your regular attention before we enter 2026. You will also find specific points for those in Switzerland, the UK, and Australia, so read on to find out!
A clear view of fixed and discretionary spending helps identify pressure points, assess sustainability, and determine whether savings or investment contributions remain realistic and whether sufficient liquidity is available to manage unexpected costs without needing to sell longer-term investments.
Some key questions to help you get started could include:
Market movements during 2025 generally alter portfolio weightings over time for many investors. Reviewing asset allocation and rebalancing where necessary helps keep risk aligned with your objectives and time horizon.
Life cover, disability insurance, and income protection should reflect current income levels and liabilities. Wills, powers of attorney, and beneficiary nominations may also require review, particularly where family circumstances or residency status have changed.
The UK tax year runs from 6 April to 5 April each year, though planning and reviews should begin well ahead of the financial year end.
For the 2025 to 26 tax year, the standard annual pension allowance remains the lower of £60,000 or 100% of qualifying earnings. Unused allowance from the previous three tax years may be carried forward, provided you were a member of a UK registered pension scheme during those years.
Although the lifetime allowance has been abolished, limits remain on the amount of tax-free cash that can be taken from pensions. This makes planning around pension crystallisation and withdrawal sequencing increasingly important.
With the abolition of the lifetime allowance came the introduction of the Lump Sum and Death Benefit Allowance (LSDBA). This sets the maximum amount of tax-free lump sums and certain death benefits that can be paid from pensions, including benefits paid on death before age 75. The standard LSDBA is £1,073,100, mirroring the former lifetime allowance.
For those living outside the UK, UK pensions and UK property often retain UK tax exposure. Double taxation agreements help manage this, though they do not remove the need for coordinated planning between jurisdictions.
In addition, in April 2027, pensions are set to come under a deceased persons estate for inheritance tax purposes, so careful planning may be needed here.
Switzerland operates on a calendar year tax basis, meaning 31 December is the end of the tax year and 1 January is the beginning. Most planning opportunities and allowances not used by 31 December are lost for that year.
For 2025 and 2026, the maximum Pillar 3a contribution is CHF 7’258 for employed individuals with a second pillar pension scheme, and the lower of up to CHF 36’288 or 20% of net earned income for self-employed individuals without a pension fund. Contributions must be credited before year end to be deductible.
Pillar 2 buy-ins / buy-backs should also be reviewed, particularly where income has increased, employment circumstances have changed, or there are plans for early retirement. These can provide meaningful tax relief when used appropriately.
Swiss residents are required to declare worldwide assets and income for wealth and income tax purposes. This includes foreign pensions, investment accounts, property, and bank balances. Where assets are held abroad, valuations and income reporting should be documented to avoid future complications with cantonal authorities.
Australia’s financial year runs from 1 July to 30 June, meaning the latter half of 2025 falls within the 2025 to 2026 year.
The concessional superannuation contribution cap for 2025-26 is AUD 30,000, covering employer contributions, salary sacrifice arrangements, and personal contributions for which a tax deduction is claimed. Where available, unused concessional caps from the previous five years may be carried forward, subject to total superannuation balance limits.
The non-concessional contributions cap for 2025-26 is AUD 120,000, with the ability to bring forward up to three years’ worth of contributions in certain circumstances, again subject to total super balance thresholds.
The Transfer Balance Cap (TBC) limits how much superannuation can be moved into the tax-free retirement (pension) phase. It is worth considering whether you may exceed this, and plan contributions accordingly.
The current general TBC is AUD 2.0 million (up from AUD 1.9 million in the previous financial year).
It applies per individual, not per account.
It is a lifetime cap on transfers into retirement phase, not a cap on total superannuation.
For Australians living overseas, superannuation remains subject to Australian rules, though the tax treatment of contributions, growth, and withdrawals may differ depending on your country of residence.
In the end, make sure you tick off the below and you will be well-prepared for 2026 and beyond!
Addressing these areas systematically reduces the risk of avoidable tax leakage, compliance issues, and structural inefficiencies over time, and it is rarely a bad idea to keep your records up-to-date.
If you would like assistance reviewing your investment position, pensions, tax-efficient planning and more, including cross-border considerations, get in touch with us today and book your initial, no-cost and no-obligation meeting.
Send us an e-mail to contactus@pattersonmills.com or call us direct at +44 (0) 1908 503 741 and we shall be pleased to assist you.
Please note that all content within this article has been prepared for information purposes only. This article does not constitute financial, legal, or tax advice. Always ensure you speak to a regulated Financial Adviser before making any financial decisions.
