More money than ever to be passed on to the younger generation

A recent report has shown that the younger generations will inherit much more money than their parents and grandparents did. Wealth amongst older generations has grown by 45% in the last decade, causing more money being passed on as an inheritance than ever before. However, those likely to benefit most are people who are already well off or have a high income.

The research highlights that the richest half of the elderly population holds 90% of the total wealth, due largely to rising property prices. As a result, inheritances are likely to fall into one of two extremes, with half of beneficiaries receiving little or nothing and the other half inheriting substantial amounts.

The study also took a closer look at families that could afford to pass on a minimum of £250,000 to their heirs. Of family’s due to inherit this amount, more than half were in the richest 20% of the population based on their income.

The report also suggested that this increase in wealth will see more families liable for Inheritance Tax (IHT). However, from April the government introduced the Transferable Main Residence Allowance (TMRA), allowing families to pass on more of their property wealth tax free.

We can provide support and advice on how to reduce the amount of IHT your estate will owe. It’s always a good idea to keep your Will under review. Contact us for an informal discussion on 0121 445 5874 or info@nullsuejendenassociates.co.uk

Do you understand your legal liability? 96% of executors say they are unaware of their responsibilities.

Recent research has shown that while six million people have experience of acting as the executor of a Will, just 4% realise they are legally liable for the accurate distribution of the estate. According to a survey conducted by Censuswide Castleacre Insurance, many executors do not realise how time consuming and difficult being an executor can be. However, this process can be made easier if your executors seek the right legal assistance.

An executor is responsible for administering the estate and is accountable to Her Majesty Revenue and Customs (HMRC) and the beneficiaries. The process of administrating the estate can be daunting given the legal paperwork, tax calculations and various administrative tasks that need to be accurately completed.

Estate administration is a long and complex process so expect it to take months rather than weeks. Each estate is different and it is almost impossible to tell how long the process will take. An average estate takes 9-12 months to administer from start to finish. If an executor breaches their duty they can be held financially and legally liable for the consequences, even if they were unaware of their wrongdoing.

Sue Jenden Associates can remove this stress from the executor and provide assistance administering an estate. The assistance can be tailored to suit the needs of the executors, even removing the liability if preferred. If you would like to find out more about this service, please contact us on 0121 445 5874 or info@nullsuejendenassociates.co.uk

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