10 Things You Need To Know About Estate Planning Northern Ireland
1. You have an Estate!
Yes, it’s true, everyone has an estate, at least almost everyone within Northern Ireland does. Your estate includes your:
• Car
• Home
• other real estate
• checking and savings accounts
• furniture
• personal possessions
Although the majority of us do not refer to the items above as “estate”, everyone has an estate and something in common – you can’t take it with you when you die.
2. You need to provide instructions
When that happens, you most likely want to control how those things are distributed to your nearest and dearest. To make sure your wishes are carried out, you need to provide instructions detailing who you would like to receive something of yours, what you want them to receive, and when they are to receive it.
To make this a smooth process, your local Financial advisor can have this arranged with the least amount of fees, taxes and court cost possible! Estate planning is making a plan in advance and naming whom you want to receive the things you own after you die.
3. It’s a LITTLE more detailed than that
However, good estate planning is much more than that. It could also:
• Include instructions for passing your values (religion, education, hard work, etc.) in addition to your valuables.
• Include instructions for your care if you become disabled before you die.
• Name a guardian and an inheritance manager (trustee) for minor children.
• Provide for family members with special needs without disrupting government benefits.
• Provide for loved ones who might be irresponsible with money or who may need future protection from creditors or divorce.
• Include life insurance to provide for your family at your death, disability income insurance to replace your income if you cannot work due to illness or injury, and long–term care insurance to help pay for your care in case of an extended illness or injury.
• Provide for the transfer of your business at your retirement, disability, or death.
• Minimize taxes, court costs, and unnecessary legal fees.
• Be an ongoing process, not a one–time event. Your plan should be reviewed and updated as your family and financial situations (and laws) change over your lifetime.
4. Estate planning is for everyone in Northern Ireland!
The assumption is often made that Estate Planning is just for “retired” people, although it is often that the case that 9 out of 10 people think about it more as they get older. However, as much as we would love to control time, we unfortunately cannot predict how long we will live. Illness and accidents happen to people at all stages of life.
Estate planning is not just for those with rich within Northern Ireland. Although people with wealth do think more about how to preserve it. Good estate planning often means more to families with modest assets, because they can afford to lose the least.
5. Too many people in Northern Ireland don’t plan
Plan, plan & plan. People too often that not put off estate planning because they think: • they don’t own enough
• they’re not old enough
• they’re busy
• think they have plenty of time
• they’re confused
OR,
don’t know who can help them –Financial Foresights trusted financial advisors are here to help. We would hate it for something to happen and for your family to pick up the pieces in such circumstances.
6. If you don’t have a plan in place then there will be one already for you – BUT you probably won’t like it!
At disability: If your name is on the title of your assets and you can’t conduct business due to mental or physical incapacity, only a Northern Ireland court appointee can sign for you. The court, not your family, will control how your assets are used to care for you through a conservatorship or guardianship (depending on the term used in your state). It can become expensive and time consuming, it is open to the public, and it can be difficult to end even if you recover.
At your death: If you die without an intentional estate plan, your assets will be distributed according to the probate laws in Northern Ireland. If you are married and have children, your spouse and children will each receive a share. That means your spouse could receive only a fraction of your estate, which may not be enough to live on.
If you have minor children, the court will control their inheritance. If both parents die (i.e., in a car accident), the court will appoint a guardian without knowing whom you would have chosen.
Now… would you not prefer to control these matters privately with your family, or let the courts? Those who have no real insight into you or what you would have wanted. Especially if you have young children, their best interests are at your heart, so only you should decide.
7. An estate plan begins with a will – Succession Planning is KEY!
Have you got a will? This is the starting point – any assets enlisted in your name or directed by your will must go through Northern Ireland’s probate process before they can be distributed to your heirs.
8. Planning your estate will help you organize your records and correct titles and beneficiary designations.
Taking control of your estate now will help you organise all records, titles, find and correct errors. If it wasn’t organized then you must ask yourself “Would your family know where to find your financial records, titles, and insurance policies if something happened to you?”
When deciding upon titles and beneficiary designations, the majority of people give no thought to the wording. The smallest mistake can create all kinds of problems for your family at your disability and/or death.
It is much better for you to take the time to do this correctly now than for your family to pay an attorney to try to fix things later.
9. Estate planning within Northern Ireland, does not have to be expensive.
Perhaps if you can’t afford an estate plan now, then our trusted financial advisors can arrange for you a will, term life insurance for your assets and health care decisions.
This is the basis and fundamental step to begin estate planning. A will or life insurance can be expanded upon as your needs change and your financial situation improves.
It’s important that you don’t try to do this yourself in order to save money. Source an experienced, independent financial advisor to provide such critical financial guidance. This will give peace of mind that your family will be in good hands and financially dependent, when you are no longer here.
10. The best time to plan your estate is now!
It is a known fact that nobody likes to consider their own death or illness, which is why so many families are left unprepared in such circumstances.
Don’t wait you can put something in place and change it later – this is how our trusted financial advisors will manage your estate plan for you! Having instructions in place to protect your loved ones is the greatest benefit to estate planning. It is the most meaningful things you could ever do for yourself and loved ones.
Contact our financial experts today to learn more on Estate Planning.
