Estate Planning for:
SINGLE/WIDOWED PEOPLE
WHERE THERE IS NO WILL, OR ONLY A BASIC WILL IN PLACE, YOUR ASSETS ARE EXPOSED TO THE FOLLOWING RISKS ON YOUR DEATH:
- Inheritance Tax (IHT) & further Generational IHT
If your estate is above the current Nil Rate Band then Inheritance Tax will be payable on your death. The remaining estate is likely to be directed to the Beneficiaries. This then adds to their estate and could impact their own Inheritance Tax. (See Key Features and Benefits Sheet 6: Generational IHT).
- Divorce
If your children/chosen Beneficiaries are subject to Divorce proceedings then half of what you intended them to receive is at risk to Divorce settlements.
- Beneficiaries’ own future Care Costs
If the inheritance has been passed to your chosen Beneficiaries, these assets could later be assessed for their own Care Costs.
- Creditors or Bankruptcy
Similarly, if any of your Beneficiaries are subject to Creditor Claims/Bankruptcy then the inherited estate is fully at risk.
DURING YOUR LIFETIME THERE IS A FURTHER RISK TO THE ESTATE YOU WISHED YOUR LOVED ONES TO BENEFIT FROM:
- Care Costs
Should you require Care then the whole estate including the family home would be assessed to pay for the cost of that Care.
