Your estate comprises just about everything you own; your house, your savings, your car, your jewellery- the lot. In short, anything valuable that you may like to pass on to somebody else one day.
Since your estate is so valuable, you probably won’t be surprised to know that lots of people may feel like they deserve some of it after you’re gone; as the title suggests, plenty of parties want a piece of what should be going to your family one day.
Local authorities may end up with a sizeable chunk of your estate if you one day end up in care. This can, realistically, happen to us all; it therefore makes sense to prepare for it. If, after a means test, it is decided that you must cover the cost of your care, then your estate may be at risk; most notably, your house can be sold.
You can improve your family’s chances of inheriting as much as possible from your estate by protecting your assets with a Trust. If made at the right time, a Trust can minimise the potential losses to your estate; it is vital, however, that careful planning is done in advance.
Your estate could be more valuable than you realise. Your house alone could be worth several hundred thousands of pounds; this, along with your savings, assets and insurance policies, could result in your estate being pushed over the Inheritance Tax threshold of £325,000. If this happens, the taxman could take 40% of your estate’s value over the threshold in tax- 40% you worked hard your whole life to earn.
You’ve been taxed for many years already, throughout your working life; why should your estate be heavily taxed when you die, too? There are legal ways to minimise your Inheritance Tax bill, and it all starts by making the Right Will.
You’d be surprised just how many people can make a claim to your estate; they can even dispute your Will if they feel they deserve some payment. How is this fair? You’ve made your Will, chosen to exclude them, and yet they can still dispute your decision. This can result in an immense cost to your loved ones in court fees; cases of disputed Wills can take years to settle, and can cost several thousands of pounds, lessening the inheritance received by your loved ones when the case is resolved.
Yet again, a Trust can give you the best possible chance of preventing this; highly protective Trusts cannot be disputed in court, so the assets within them have a much better chance of going in full to your beneficiaries when the time comes.
Protecting what’s rightfully yours
It is more straightforward than you may think to safeguard your assets effectively. A Trust can protect your house, savings and more for up to 125 years, keeping your estate safe for many generations to come.
Speak to Accord today on 01744 807048 for more information on creating a Trust and protecting your assets.