‘Hope for the best and plan for the worst’ is an old expression which is very appropriate when it comes to inheritance tax planning. There are many ways you can protect your assets, which is why professional advice is so important. Without careful planning as much as 40% of your estate could go to the tax man on your death.

This year UK tax payers will waste over £1 billion of their hard-earned money because of little or no inheritance tax planning. If you have assets worth over £325,000 (tax year 2016/17) you should start planning now. We are here to help and advise you on solutions available to you.

Protecting your assets

Your estate will owe tax at 40% on anything above the £325,000 inheritance tax threshold when you die (or 36% if you leave at least 10% to a charity).

Whatever you have saved or invested during your life, you would have made sure your investments have grown in value. On your death you most likely want to pass on your wealth to your nearest and dearest, or perhaps even to a charity.

Regardless of what your plans are, without doubt you wish for the majority of your wealth to be distributed according to your wishes. Writing a will should be your first step. In order to reduce the burden of any potential inheritance tax bill for your family on your death you have several options available to you. These include gifting assets away or placing them in trust for your beneficiaries, both of which are tax-efficient ways of distributing your wealth. By talking to us we can establish what your assets are worth and how best to realise your wishes as there may be other options more suitable to you.

Often enough people find themselves later in life being asset rich but income poor. It is of course important to make sure that you have enough disposable income to allow you to enjoy your retirement and not only plan for passing on your wealth to your beneficiaries. Again, there are several options available, depending on what your assets are, which we can advise you on to generate an income to boost your pension.