Wills
Many people do not understand the consequences of failing to make a Will nor of the benefits that a Power of Attorney can bring. Not making a Will can be very damaging to the interests of family, dependants and beneficiaries because it can affect the tax burden imposed upon them by government legislation. That legislation can also mean that property may go to those you would not wish to have it!
Lasting Powers of Attorney were introduced in October 2007 and are a way of giving total or limited control of one's property and affairs and also (if you wish) one's personal welfare to a trusted relative or professional person in the event of mental incapacity brought on by an accident or medical condition or just advancing years. Legal advice obtained from an experienced solicitor can prove invaluable in drawing up a Will that removes complications which sometimes arise after the person has died, and one which takes full advantage of Inheritance Tax allowances for the beneficiaries.
It is a common misunderstanding that a surviving partner or family member will automatically inherit everything. The fact is that if what you leave behind (known legally as your "Estate") exceeds a certain monetary value, and you have not made a Will, the law will decide who inherits what and this may include other members of your family or dependants. A Will can dictate who gets what and who doesn't get what they might expect! It can influence your funeral arrangements, set out who (by prior agreement) will take care of your children, make special provisions for particular people or good causes, and appoint named persons to take charge of your affairs (called "Executors").
They will also need to have the important role of being Trustees if, for instance, there are infant beneficiaries.
Neither a Will nor a Lasting Power of Attorney is set in stone whilst you have the mental capacity to change either one. Both documents can give you peace of mind however and, providing they have been drawn up by a qualified solicitor, you can have them modified to reflect changing circumstances. To many people the thought of making a Will or a Power of Attorney seems like signing away their lives. However, both steps are a serious expression of care and concern for loved ones who will have to supervise your affairs when you are no longer able to handle them yourself.
We recommend that you also read our Web page on Probate & Trusts to more fully understand the above information. Please contact us by telephone, fax, e-mail or letter for a confidential discussion about your personal circumstances and concerns.
Probates
After a person has died it is usually necessary to apply for Probate or to implement any Trusts which the deceased set up in his or her Will. Probate is the formal process whereby an executor obtains authority to administer the Will and deal with any Trusts which are set up by the Will. Without this formal authority the provisions of most Wills cannot be carried out, unless the estate is very small in value or all property is held jointly with a surviving relative or friend. If the deceased did not leave a Will the next of kin will need to apply for Letters of Administration instead of Probate. In either case it will be helpful (if not essential) to seek the advice of a specialist solicitor.
The executor will need to provide the Probate Registry office with evidence of the death, the value of the deceased's estate, the original Will, the Probate Fee, and an Inland Revenue Account. Often a deceased person will have nominated a solicitor as an executor of the Will which can be very helpful to the surviving relatives if Probate is required.
The setting up of a Trust can secure a portion of the estate for the benefit of named individuals to inherit at a specific point in time. If children or other beneficiaries are infants then they may well only receive what is due to them at the age of 18 or at any later age which is specified. In addition, money may be left in Trust until a grandchild or a child from a previous marriage attains a certain age or property can be left in Trust for the benefit of named individuals or even to preserve it for the use of succeeding generations. A Trust can be established during someone's lifetime or on their death by an executor carrying out instructions contained in a Will. Setting up a Trust can be a way of reducing taxes which are normally levied on an estate after death. However, careful planning is required and it is important that early discussion takes place to ensure that the right decisions are made for everyone concerned.
We recommend that you also read our Web page on wills to understand more fully the above information. In the event of a death in the family then we can take the worry off your hands leaving you free to cope with the bereavement and other personal aspects involved.