4 things you should do before you die
Smart planning for the future is important; we all want to retain an element of control over our lives and our legacies after we’re gone.
Whether you’re worried about losing mental capacity and what decisions will be made on your behalf, or what will happen to your money and property after you die, there are various legal options open to you when it comes to planning your future.
Planning for your future: do these four things now
Our estate planning solicitors share four legal safeguards they think everyone should consider doing now to give them certainty and control over their lives.
1. Get a Will
Over half of UK adults do not have a Will, showing how overlooked its importance is. Writing a Will gives you control over how your assets are distributed after you die. If you don’t have one, then your property will be dealt with according to the laws of intestacy, which doesn’t just mean your money will go to your children.
There are various ways you can write a Will, but with a rise in inheritance disputes, your Will needs to be watertight, so it makes sense to seek help from a solicitor to draft one.
2. Create a Lasting Power of Attorney
At the same time as writing your Will, you might want to consider a Lasting Power of Attorney (LPA). An LPA is a legal document that appoints someone – usually a family member or friend – to make decisions on your behalf if you lose mental capacity. There are two types of LPA: Health and Welfare, and Property and Finance.
Loss of capacity is a growing issue. As a society, we’re getting collectively older, and we are also seeing a rise in dementia and other mental impairments. Of course, an LPA isn’t just for older people; anyone can get dementia or be injured in an accident, which leaves them with a brain injury and unable to manage their own affairs.
You cannot make an LPA after you’ve already lost mental capacity. Should this happen, your family would need to apply to the Court of Protection to appoint a Deputy to act on your behalf, and it might not be someone you would have chosen yourself.
3. Set up a Trust
Trusts aren’t just for the super-wealthy. They can be used to reduce tax liability when you die, but also to ensure that assets go where they are supposed to.
You might wish to set up a Trust in your Will for your house which provides that your spouse can continue to live there after you die, and then states that on your spouse’s death or remarriage, the property passes to your children. This can protect the value of the property for your children if your spouse remarries.
Trusts can also hold money or property for children who are too young to inherit them, so if something happens to you and your spouse, you can be certain that your children will be provided for.
4. Keep your legal documents up to date
Having a Will, LPA or Trust is a great place to start, but if they’re out of date, it can lead to all sorts of problems. It’s important to write or update these documents with any change or life event. Common triggers include:
- Having children or grandchildren
- Getting married or remarried
- Getting divorced
- Buying a house
- Setting up a business
- A change to your health
- Inheriting money
- An executor passing away
- One of your children getting married or divorced
In some ways, having an outdated Will or LPA is worse than not having one at all. It makes the estate administration process more complex and puts more stress on loved ones. What’s more, it means you won’t be in control of how your estate is distributed. Read more about when to update your Will.
Further information
To speak to our experienced estate planning solicitors in Bristol about creating your Will, Lasting Power of Attorney, or Trust, call us on 0117 325 2929 or fill out our online enquiry form.
