ESTATE PLANNING & LATER LIFE
With the alarming rise in dementia and IHT at 40% it is becoming more important for individuals to take control of their tax planning and later life planning. At Marcus Bishop Associates we recognise the importance of this for our clients and we help to focus on forward planning.
- Lasting Power of Attorney
We advise and prepare lasting power of attorneys for clients to allow their nominated attorney can act in their interest if they should lose their capacity to make their own decisions.
A Lasting Power of Attorney (LPA) is a legal document that allows an individual to appoint one or more persons (known as ‘attorney’) to help make decisions or to make decisions on their behalf if you have an accident or an illness and they cannot make their own decisions (‘lack mental capacity’).
There are two types of LPA;
1. Health and Welfare,
This LPA gives an attorney the power to make decisions about things like:
- your daily routine, for example washing, dressing, eating
- medical care
- moving into a care home
- life-sustaining treatment
It can only be used when you’re unable to make your own decisions.
2. Property and Financial Affairs
This LPA gives an attorney the power to make decisions about money and property for you, for example:
- managing a bank or building society account
- paying bills
- collecting benefits or a pension
- selling your home
It can be used as soon as it’s registered, if requested by the donor.
A Will is the bedrock of any long term financial planning strategy as it allows you to determine where your assets go when you are no longer alive. Furthermore in the absence of a Will your assets may end up with the Crown.
5 Reasons why you should make a Will?
1. A Will allows you to retain control of how you estate is distributed.
2. A Will avoids your estate being subjected to the rules of intestacy
3. A Will often reduce the cost of estate administration and probate
4. A Will can be used to nominate guardians for your children if they are minors on your death.
5. A Will can be used to nominate the beneficiaries of your business
A trust may be created by any taxpayer to manage land, property, money, shares etc, on behalf of named beneficial owners by the appointed trustees. A variety of trusts exists and we can help clients identify the appropriate trust to achieve their desired objective.