The Financial Conduct Authority does not regulate advice on Estate Planning or Inheritance Tax Planning.
Inheritance tax is often referred to as a voluntary tax as there are many ways available to either mitigate or avoid the tax.
It is a complex area with numerous rules, allowances and thresholds and we strongly recommend that you get advice in this area. Everybody’s circumstances could be different and advice can help try and minimise or eliminate the potential tax due on death.
Tax advice which contains no investment element is not regulated by the Financial Conduct Authority (FCA).
The Financial Conduct Authority does not regulate Wills or Estate Planning.
Information regarding taxation levels are based on our current understanding of HMRC legislation and regulations. Any levels and bases of, and reliefs from taxation are dependent on your own individual circumstances and are subject to change.
It is widely regarded as important to have made a will, irrespective of age, health or financial status to ensure that you decide what happens to your estate upon death.
If you have no will when you die (known as intestate) the law will dictate how your possessions, property & monies will be redistributed, which may not have been in line with your wishes. Making a will prevents this.
Arguably more importantly your wishes regarding arrangements for your children can be clearly written into your will. You can consider what happens to the children should one or both of you & your spouse dies.
Making a will can also help you plan for a potential reduction in inheritance tax provided you plan in advance.
Unmarried partners, including those who haven’t had a civil partnership ceremony cannot inherit from one another without a will, often creating serious financial difficulties or conflicts.
You must also consider your will if your circumstances change to ensure that your wishes upon death are fulfilled appropriately. For example, if you’ve separated since you made your will & your ex is living with someone else, you may wish to rethink your wishes.
The Financial Conduct Authority does not regulate Will or Estate Planning.
Lasting Power of Attorney
Lasting Power of Attorney (LPA) is designed so that your family and loved ones can take care of you and your financial affairs if you become incapable of doing so yourself. There are two LPAs to consider:
Property & Financial Affairs
This LPA allows your family or loved ones access & control of your finances, including your property and monies. It allows them access to your investments, bank accounts & other finances, allowing them to pay bills on your behalf.
Health & Welfare
This LPA is designed to allow your loved ones to make decisions over your care & health issues, should you become incapable of dealing with them yourself. Should the worst happen, your affairs will be handled correctly. This often saves time, money and the stress that occurs in these situations.
If a Health & Welfare LPA is not in place and you loose your mental capacity, your loved ones will have to apply to the Court of Protection, who will appoint a deputy to deal with your affairs. This is often an expensive and slow process, which can be bypassed with an LPA in place.
The Financial Conduct Authority does not regulate legal services such as power of attorneys.