Estate Planning and Wills

Estate Planning and Wills | Ensuring Your Legacy

In the complex landscape of estate planning, wills are foundational documents that articulate your wishes regarding the distribution of your assets and the care of any dependents after your passing. At Continuum Wealth, we provide comprehensive guidance on integrating wills into your estate plans, ensuring clarity and peace of mind for you and your loved ones. While we don't draft wills ourselves, we collaborate with attorney that do wills to provide a comprehensive solution.

Understanding Wills and Their Importance

A will, or a last will and testament, is a legal document that specifies how your assets should be distributed, who should manage the estate (the executor), and who will take care of minor children (if applicable) upon your death. Wills are crucial for preventing the state's default rules (intestacy laws) from determining these aspects of your estate.

What Happens If You Die Without a Will?

Dying without a will, known as dying intestate, means your estate will be distributed according to statutory formulas, which may not reflect your personal wishes. This often leads to complications, delays in the probate process, and potentially unwanted tax consequences.

The Role of Wills in Estate and Tax Planning

Having a properly drafted will can significantly influence how your estate is distributed and can help minimise the inheritance tax burden. Strategic use of wills can include the creation of trusts within the will (testamentary trusts), which can offer tax benefits such as reducing inheritance tax liabilities through a discretionary will trust.

Creating and Implementing a Will

Drafting a will involves several key steps:

Determining the Contents: Decide what assets you have, how they should be distributed, and who should be responsible for managing the process.

Legal Requirements: Ensure the will meets all legal requirements to be valid, such as being in writing and witnessed correctly.

Power of Attorney and Will Coordination: Consider how your will and any power of attorney documents work together, particularly concerning end-of-life decisions.

Changing and Updating Your Will

A will can and should be updated whenever significant life events occur, such as marriage, the birth of a child, or a change in financial circumstances. Changing a will typically requires either an amendment called a codicil or creating a completely new will.

Probate and Wills

Probate is the legal process through which a will is validated by the courts. The question, "If you have a will do you need probate?" is common, and the answer is typically yes, although the process can be more straightforward if the will is clear and uncontested.

Cost and Considerations for Wills

The cost of will and testament creation can vary widely depending on complexity. At Continuum Wealth, we help you understand the potential costs and guide you in making a will that provides maximum benefit for your estate planning goals.

Special Considerations

Trust and Will: Incorporating trusts within a will for specific purposes, like caring for a child with special needs or managing a business asset, can be effective.

Contesting a Will: Understanding the grounds on which a will can be contested and planning accordingly to minimise such risks.

What to Do When Someone Dies: A Step-by-Step Guide

  1. Register the Death: Officially register the death within 5 days (8 days in Scotland).
  2. Tell Government About the Death: Use the Tell Us Once service to report the death.
  3. Arrange the Funeral: Plan the funeral based on the deceased's wishes or family preferences.
  4. Check Bereavement Benefits: Manage changes to benefits, pensions, taxes, and seek bereavement support. Check immigration status if applicable.
  5. Value the Estate and Check Inheritance Tax: Determine if Inheritance Tax is due by valuing the estate.
  6. Apply for Probate: Legal process for estate administration. Executors named in the will should apply for a Grant of Probate. 
  7. Deal with the Estate: Distribute the estate according to the will or intestacy rules.

At Continuum Wealth, we understand the importance of having a well-structured will as part of your estate planning. Whether you are drafting your first will or updating an existing one, our guidance ensures that your estate is planned with precision, fulfilling your wishes and maximising the benefits for your heirs.

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Note: This page is for information purposes only and should not be considered as financial advice. Always consult an Independent Financial Adviser for personalised financial advice tailored to your individual circumstances.