There are real risks to your assets if you don’t plan ahead. This is not only about writing a will but also making sure your wishes are respected and your loved ones supported. Without a clear plan in place, your assets could be lost to unexpected care costs, unnecessary taxes, or legal fees. With a few key steps, you can stay in control.
Make a will
Having a legally valid will is the most basic and important way to protect your assets. Without one, the law decides who gets your money, and it might not be who you expect. A will lets you choose exactly who gets what, whether your money, your house, or your treasured possessions. If your situation is complicated, such as owning property and having stepchildren and a business, obtaining professional advice is a good idea.
Make an LPA online
If you become seriously ill or unable to make decisions in the future, someone will need to make them for you. That is where a lasting power of attorney comes in. It lets you choose someone you trust to manage your money, pay your bills, or even make health decisions on your behalf.
You can set up an LPA easily using an LPA online service, such as https://powerofattorneyonline.co.uk. This helps guide you through the process. Without an LPA in place, your family might have to go through a long and expensive court process.
Plan ahead for care costs
Residential care is expensive. If you don’t plan ahead, the local council may force you to sell your home to pay the fees. You can’t give everything away to avoid care fees, but there are legal ways to protect part of your estate.
Inheritance tax
Inheritance tax is a charge on estates worth more than £325,000, or £500,000 if you are leaving your home to your children or grandchildren. Anything over this may be taxed at 40%. There are legal ways to reduce or even avoid inheritance tax, including making gifts during your lifetime, donating to charity, and setting up trusts.
