Banking 101 –
Why everyone needs an estate plan
An estate plan is about more than inheritance tax mitigation or simply drawing up a will. It’s about understanding your preferences and arranging your assets so that you can live the lifestyle you want whilst making provisions for those you love during your lifetime and after your death.
What is estate planning?
An estate plan includes a range of considerations, from the writing of an up-to-date valid will, having the suitable death benefit nominations in place, developing a lifetime gifting strategy and securing a post-death legacy in line with your wishes.
An estate plan typically includes details on:
An outline of how your assets will be distributed and who will manage your affairs.
A legal nomination as to who can make decisions on your behalf.
Identifying who will be the recipients of any post-death pension benefits.
Identifying how your assets and income will secure your lifestyle.
How your loved ones can have financial security should you die or become ill.
Identifying how the correct asset/income can be distributed to the right people at the right time during your lifetime – perhaps involving trusts or simple structures.
Post-death distribution of your wealth, perhaps using tax-advantaged arrangements and mitigation strategies with regards to Inheritance Tax (IHT).
Your tailored estate plan
An estate plan is a very personalised piece of planning. Understanding your circumstances, wishes, aspirations, and preferences is a long-term and often evolving conversation. First and foremost, it’s essential to consider how you can arrange your capital and income arrangements to ensure that your lifestyle can be maintained.
Estate planning building blocks include investment wrappers for tax efficiency, spending plans, gifting options, and legacy preferences. Estate planning structures can consist of simple arrangements such as pensions, ISAs, unwrapped investments, bond wrappers, business assets or more complex but non-contentious structures such as trusts and life insurance.
It is important to take a holistic view of your finances. An estate planning service should review where you are now, where you are going, and what your options could be over time, depending on milestones and life events. It should also help you create an estate plan designed to sustain your lifetime financial needs and address how you wish to help others. This should all align with your views on lifetime gifting, post-death legacy and design inheritance tax mitigation strategies depending on your objectives. An estate plan will be tailored to provide you with the right balance of control, access, flexibility and tax advantages.
An experienced and qualified wealth planner can help you build a plan that offers the right balance of control, access, flexibility and tax advantages designed to deliver an effective and controlled outcome for you, your family and your business.
Becoming a client
Take control of your finances today by completing our enquiry form. Alternatively, you can call us on the number below and one of our team will be more than happy to talk about your future.