While each day seems to bring a new tax, increasing taxes and talks of government budget shortfalls, many investors should be checking that they are making full use of the tax efficient investment vehicles on offer.  Whether you are looking at ISAs (Individual Savings Accounts), a self-select pension fund or trusts, you really do need to ensure you are savings as much tax as possible - after all they are designed to help and encourage you to invest!

The government has recently increased the annual limit for ISAs to some £7,200 per person per year, while the rules on contributing to your pension scheme are fairly flexible, with tax incentives to encourage you.  The subject of trusts is a little more complicated and while it would need specific advice for individual cases, there is real potential to protect some of your assets from both income tax and inheritance tax.

It seems amazing that despite the number of high profile tax efficient investment vehicles on offer, many people still tend to invest in their own name, incurring both income tax and capital gains tax (if you make a profit!).  Perhaps it is time that you took a look at your assets and started to plan ahead for the future.  Short term strategies are ok as a stop gap, but they need to be amended at some stage and the recent increase in property prices has opened many peoples eyes to potential tax liabilities in the future.

It is never too late to start, but you really do need to consider the situation carefully.