By Bodie Dove, Financial Adviser at Lester Brunt Wealth Management

Nobody likes talking about death and no one likes talking about money either – so it’s hardly surprising that estate planning is seldom discussed. With property prices continuing to rise and IHT allowances frozen until 2026, more and more people are getting unexpectedly caught out by the 40% Inheritance Tax on their estates. If you’re prepared to start thinking about what will happen to your money when you die, there’s often plenty you can do to reduce the tax bill your loved ones will eventually face. You might also get the opportunity to leave a ‘living inheritance’ to your family and see them benefit from your wealth before you go.

It’s not always possible to completely reduce a future IHT bill, but there are steps you can take to help:

• A life assurance policy, where the assured sum covers the predicted IHT bill can spare your family the stress of selling assets to pay it. For this to work, the policy must be written in trust. This ensures that the pay-out falls outside your estate for IHT purposes and the money is readily available for your executors to settle your estate.
• Using appropriate trust planning can provide the benefits of assets that over time sit outside of your estate for IHT purposes while being able to provide an income now.
• Gifting allowances are available to everyone and can be used each year to give some of your money away, providing an easy way to immediately mitigate IHT.

Lester Brunt can help by providing a review of your current position and structuring your estate more tax efficiently using a range of solutions. If you would like to find out more, you can schedule a consultation on 07507443388 or email bodie.dove@sjpp.co.uk

The levels and bases of taxation, and reliefs from taxation, can change at any time. The value of any tax relief generally depends on individual circumstances.
Trusts are not regulated by the Financial Conduct Authority.

Lester Brunt Wealth Management is an Appointed Representative of and represents only St. James’s Place Wealth Management plc (which is authorised and regulated by the Financial Conduct Authority) for the purpose of advising solely on the Group’s wealth management products and services, more details of which are set out on the Group’s website www.sjp.co.uk/products. Lester Brunt Wealth Management is a trading name of Lester Brunt Wealth Management Ltd.