Follow these steps when doing estate planning:
Draw up a Will
If you don’t have a will make sure you get one done as soon as possible. You can then make sure your assets and valuables go to the right beneficiaries. Appoint an executor for your will. Your solicitor can help you draw up a will for your specific needs. A carefully drawn up will helps reduce inheritance tax.¹
Keep Your Files in Order
Keep essential documents in one file. Let your executor or family member know where it is. Records in this file should include your will, property deeds, bank details, bills, insurance and loan documents, birth and marriage certificates, tax certificates, and investment documents.
Pay off Debt When You Can
If you can, pay off any debts, you owe before you die. This makes it easier to distribute assets and wealth quickly to your beneficiaries. ²
Plan for ill Health
Get a power of attorney while you can. This will enable someone to act on your behalf if you become too ill to look after yourself or your financial affairs.
Estate planning is a clearly defined plan that sets out your wishes when you die. It will help your executor to carry out your wishes and help your loved ones carry out your final requests.
The sooner, the better, it’s better to plan your estate now. This way, your assets will be distributed to your beneficiaries instead of having the state decide who gets what.
A will is a legal document that you need to draw up to lay out what your beneficiaries will get and what your final wishes are. Estate planning is the plan you create before you draw up your will.
The main benefit is you can avoid paying inheritance tax.
Estate planning is something we all have to do. It’s essential to look at your financial affairs and carefully plan out how you want your assets to be distributed when you die. Putting your affairs in order can help you to avoid paying inheritance tax and make sure your beneficiaries are well looked after.