
Partner Retirement in Law Firms, Second Edition
Strategies for Partners, Law Firms and Other Professional Services
Published: 2025
Pages: 131
eBook: 9781837231270
In this 2025 edition, edited by partnership and employment specialist Ronnie Fox, expert contributors offer up-to-date guidance to navigating the difficult aspects of retirement in the broad context of career planning
With these challenges in mind, Partner Retirement in Law Firms encourages proactive retirement planning. In this 2025 edition, edited by partnership and employment specialist Ronnie Fox, expert contributors offer up-to-date guidance to navigating the difficult aspects of retirement in the broad context of career planning, including:
the financial consequences of retirement;
legal matters;
day-to-day practicalities;
accounting and tax;
psychological considerations; and
new activities in retirement.
The key to successful retirement is asking the right questions and using the answers to create a plan. Partner Retirement in Law Firms provides both individual professional partners and HR teams with a practical guide to making the transition from professional to retired life seamlessly and with minimal stress.
Table of Contents
Cover | Cover | |
---|---|---|
Title Page | i | |
Copyright | ii | |
Contents | iii | |
Preface | vii | |
Executive Summary | ix | |
About the editor | xv | |
About the authors | xvii | |
Chapter 1: Partner retirement – a firm’s perspective | 1 | |
The legal framework | 1 | |
Voluntary retirement | 9 | |
Involuntary retirement | 15 | |
The exit | 17 | |
Chapter 2: Legal issues from the individual partner’s point of view | 23 | |
Objectives | 23 | |
Considerations for retiring partners negotiating their exit | 24 | |
The default regime – the Partnership Act 1890 and Limited Liability Partnership Act 2000 | 28 | |
The exit routes | 28 | |
Challenging expulsion / compulsory retirement and tactical considerations for partners | 33 | |
Business protection by the firm – risks for the partner | 45 | |
The deal and beyond | 47 | |
Chapter 3: Accounting and practical considerations | 51 | |
Introduction | 51 | |
Retirement date | 52 | |
Impact of business structure and profit-sharing arrangements | 53 | |
Accounts at the date of retirement | 56 | |
Goodwill and anti-embarrassment arrangements | 64 | |
Non-partnership assets | 65 | |
Financial settlement and payments | 67 | |
Post-retirement issues | 69 | |
Chapter 4: Tax considerations | 71 | |
Introduction | 71 | |
Equity changes | 71 | |
Profit share | 72 | |
Capital invested in the firm | 72 | |
Salaried member/partner | 73 | |
Retiring as a partner | 73 | |
Retirement date | 79 | |
Tax reserves | 80 | |
Self-assessment tax return | 82 | |
Tax liabilities | 83 | |
Selling your share of goodwill | 86 | |
Selling your shares in a service company | 87 | |
Post retirement | 88 | |
Chapter 5: The emotional impact of partner retirement | 93 | |
Introduction | 93 | |
Plan in advance | 94 | |
Alternative strategies | 95 | |
Defining your post-retirement role | 97 | |
Concluding thoughts | 100 | |
Chapter 6: Build a strong retirement planand safegu ard your future – ten essential steps | 101 | |
Make your plan – find your number | 101 | |
Pensions | 103 | |
Other assets | 109 | |
Investment risk | 113 | |
There’s no point planning if disaster strikes… | 114 | |
Legacy planning | 114 | |
Your ten essential retirement planning steps | 117 | |
Chapter 7: Another career? | 119 | |
Introduction | 119 | |
“When should I do it?” | 121 | |
“How should I think about it?” | 123 | |
“What should I do about it?” | 126 | |
Concluding thoughts | 129 | |
About Globe Law and Business | 131 |
Ivor Adair
https://www.linkedin.com/in/ivor-adair-3a28a938/
Ivor Adair is a partner at Fox & Partners. He frequently acts in contentious partnership and high-value senior executive disputes. He regularly advises professional partners in the legal, accountancy and financial services sector. Ivor has a particular interest in incentive arrangement disputes in the financial services sector and in business protection from employee/partner competition. He has considerable experience advising on sensitive and complex discrimination and whistleblowing claims.
Andrew Baker
https://www.linkedin.com/in/andrew-baker-8415092/
Andrew Baker is a partner in RSMs consulting team with over 30 years experience advising and supporting professional practices. His diverse client portfolio includes legal businesses ranging from international and large national firms to local regional practices. He advises the legal sector on a wide range of strategic, regulatory and operational matters including supporting clients in developing effective succession strategies to ensure smooth transitions and long-term success.
Andrew regularly provides technical updates and training to clients, regional Law Society groups and ICAEW members. He also contributes his expertise to the ICAEW Solicitors Community Advisory Group. He is committed to the development of future talent in the accounting and business advisory fields. He actively participates in mentoring and guiding the next generation of professionals, ensuring they are well-prepared to meet the industrys evolving demands.
Rod Chamberlain
https://www.linkedin.com/in/rodchamberlain/
A career guidance consultant from 2000 until 2024, Rod Chamberlain engaged with several hundred executives and professionals from a wide range of industries, sectors and countries as they worked their way through significant career change.
Rod was a banker in his earlier career. He has held executive committee and local board roles in investment, corporate and retail banks and securities firms owned by organisations of 11 different nationalities. His board experience spans four decades and five countries, with advisory and non-executive roles in the commercial, not-for- profit and voluntary sectors. Rod holds an MBA from INSEAD and an MA in economics from Cambridge University. He has also acquired a certificate in occupational testing from the British Psychological Society and the Islamic Finance Qualification. He has lived, to work or study, in Germany, France, Australia and both coasts of the United States. Rod is fluent in German and French, with smatterings of other languages.
Caroline Field
https://www.linkedin.com/in/carolinefield1/
Caroline Field is a partner and head of Fox & Partners’ litigation practice. She frequently acts on high-value and sensitive senior executive and partner moves. She advises professional partners and firms, typically in the legal, consultancy and financial services sectors. Caroline frequently acts for professional firms in connection with the investigation of partner conduct and in relation to expulsion, compulsory retirement and/or de-equitisation of members or partners, and for individuals responding to such processes. She regularly advises on the strategic handling of partner conduct, performance issues, discrimination and whistleblowing complaints. Caroline has a particular interest in advising on business protection from employee/ partner competition. She has successfully obtained and defended injunction applications and brought complex disputes to a successful conclusion following trial and alternative dispute resolution.
Micheline Hogan
https://www.linkedin.com/in/micheline-hogan-5922b028/
Micheline Hogan is an experienced psychodynamic psychotherapist who trained at the Tavistock Clinic in London and worked for NHS Camden and Islington Trusts in both psychological and psychotherapy services. She has many years of experience in private clinical practice based in Golders Green, offering both brief and long-term psychotherapy. In addition to a clinical practice, she co-facilitated experiential medical groups focusing on the awareness of the emotional impact on the doctor-patient relationship. She designs resilience workshops, centred on the same principle but for client-lawyer relationships at law firms that specialise in family law or dispute resolution. Micheline is a French speaker and has citizenship in both the United Kingdom and France. She is a member of the Tavistock Society of Psychotherapists & Allied Professionals and the British Psychoanalytic Council.
Veronica Mann
https://www.linkedin.com/in/veronicamann251253/
Veronica Mann BSc, CFPTM Chartered MSCI is a chartered and certified financial planner, providing independent financial advice tailored to her clients’ unique needs. She specialises in lifestyle planning, inheritance tax mitigation, retirement planning – with or without pensions – family protection and equity release.
With over 30 years of experience in wealth creation and protection, Veronica helps clients shape the lifestyle they desire, while safeguarding their wealth from tax and care fees to provide lasting financial stability. She focuses on supporting individuals in planning for a comfortable, stress-free future. She is an accredited member of the Society of Later Life Advisers. Veronica’s primary role is to help clients clarify their life goals and develop a structured action plan to answer the critical question, “Will I run out of money?” She takes a personalised approach, working closely with people navigating major life transitions such as retirement, bereavement or divorce.
Nicky Owen
https://www.linkedin.com/in/nickyowencrowe/
Nicky Owen is a seasoned tax partner and head of professional practices at Crowe U.K. LLP. With a career dedicated to advising professional firms, Nicky’s expertise spans a wide range of services and clients, from boutique to international Magic Circle law firms. Nicky excels in building rapport with clients, guiding them through their evolving tax positions as individuals and as a firm. Her pragmatic and practical solutions help professional firms and their partners manage their tax obligations effectively, allowing them to focus on their core work. She also leads roundtable discussions and seminars on tax and financial planning for new, seasoned and retired partners. This end-to-end approach gives Nicky invaluable insight that is shared with clients and prospects in thought leadership content. Passionate about the sector, she is a committee member of the Association of Partnership Practitioners.
Corinne Staves
https://www.linkedin.com/in/corinne-staves-96964894/
Corinne Staves is a partner at specialist partnership, employment and regulatory law firm CM Murray LLP. She specialises in partnership and LLP law and advises professional services and financial services firms and individuals on a full range of matters. These include establishing new businesses, governance and compensation arrangements, international structuring, transactions (including mergers, LLP conversions and sales/investments), partner and team moves and regulation (including reporting and professional discipline).
Corinne co-authored LLP and Partnership Law: A legal and practical guide (Lexis Nexis, 2024) and was the first female chair of the Association of Partnership Practitioners. Chambers and Partners UK 2025 ranked Corinne a “Star Individual” in Partnership (Non- Contentious) and “Spotlight Table” for Partnership (Large International Structures), and Legal 500 UK 2025 ranked Corinne as a “Leading Individual” in the area of Partnership law, commenting that “Corinne Staves is a guru in the partnership world”.