Fiducia Wealth Management
Posted in Inheritance Tax, Intestacy on 06.09.14

The Rules of Intestacy apply when someone dies without making a valid Will. These rules will dictate who administers the estate, who inherits and how much they will receive: this may not reflect your wishes or be tax efficient.

On 1 October 2014 the Intestacy rules changed.

The table below highlights the key changes on intestacy:

Deceased dies, leaving Rules from 1 October 2014 Old rules 
A spouse and children Spouse receives: Statutory legacy of £250,000Personal chattels

 

Entitled to half of the residuary estate outright

 

 

Children entitled to remaining half of residuary estate at 18

Spouse receives:Statutory legacy of £250,000Personal chattels

 

Life Interest in half of residue which would then pass to the children on subsequent death

 

Children entitled to remaining half of residuary estate at 18

A spouse but no children (parents and/or siblings survive) Spouse receives:The whole estateParents/siblings do not receive anything

 

Spouse receives:Statutory legacy of £450,000Personal chattels

 

Half of residue

 

Parents receive half of residue equally (or siblings if no surviving parents)

 

Intestacy does not help those who are not married or in a civil partnership.

It is therefore so important to make a Will to ensure your wishes are carried out.  A Will, together with a Lasting Power of Attorney, should be considered an essential part of your family’s future wealth planning.  We will be happy to introduce you to a trusted solicitor to create these essential documents.

If you would like to know more about how we as Financial Advisers can help you with Inheritance Tax visit the Estate Planning section of our website: Estate Planning or send us email at: email@fiduciawealth.co.uk

The information contained in website is for guidance only and does not constitute advice which should be sought before taking any action or inaction. The information is based on our understanding of legislation, whether proposed or in force, and market practice at the time of writing. Levels, bases and reliefs from taxation may be subject to change. Accordingly no responsibility can be assumed by Fiducia Wealth Management Limited, or any associated companies or persons, its officers or its employees, for any loss occasioned in connection with the content hereof and any such action or inaction. Professional financial advice is necessary for every case.

Fiducia are an award winning firm of Financial Advisers based in Dedham near Colchester situated in the heart of Constable Country on the Essex Suffolk border. www.fiduciawealth.co.uk

Fiducia Wealth Management Ltd. Dedham Hall Business Centre, Brook Street, Dedham, Colchester, Essex, CO7 6AD.

Fiducia Wealth Management Ltd. is authorised and regulated by the Financial Conduct Authority.. FCA No. 408210

Fiducia Wealth Management
Posted in Inheritance Tax, Intestacy on 06.09.14