IHT and Estate Planning

For most people, having worked hard alongside exercising financial prudence during their lifetime, they understandably wish to pass on as much of their wealth to their loved ones as possible, and limit the impact of Inheritance Tax.

How can we help?

When an individual passes away, liability of up to 40% of their estate may be payable to HM Revenue and Customs (HMRC).

Whilst IHT may seem a daunting thought, there are a number of options available which can legally reduce or entirely mitigate an Inheritance Tax liability or provide for the IHT liability to be cost-effectively met, if it is not possible to fully mitigated.

Some of those options available include maximising spousal and gift exemptions, out of income expenditure, charitable donations, various forms of business relief and the use of Trusts.

Primarily any IHT and Estate Planning mitigation advice provided will not jeopardise your financial security.  Our independent financial advisers take the time to fully understanding your overall financial position both now and in the future, alongside known and likely financial commitments in the future, which will underpin our advice for your IHT and Estate Planning.

The value of your investments can go down as well as up and you may get back less than you paid in. Laws and tax rules may change in the future. Your own circumstances also have an impact on tax treatment. 

Taking into consideration your full financial situation, we will guide you through the options available to you, ensuring you are able to consider an appropriate solution for you and your family.

Mitigating Inheritance Tax strategies may include:

  • Annual Gifting Allowance of £3,000
  • Annual Small Gifts Allowance of £250 to as many people as you wish
  • £2,500 for grandchildren’s weddings
  • Out of income gifting
  • Maximising your Residence Nil Rate Band where applicable
  • Leaving money to registered charities
  • Potentially making large gifts to beneficiaries during life
  • Equity Release strategies
  • Harnessing Pension fund IHT efficiency
  • Investment strategies utilising business property relief rules
  • Insuring potential estate liabilities
  • Considering appropriate Trust arrangements

Taking into consideration your full financial situation, we will guide you through the options available to you, ensuring you are able to consider an appropriate solution for you and your family.

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Contact an expert

For a no-obligation consultation with one of our Independent Financial Planners, please call 01494 455616