Inheritance, Wills & Probate questions?

Robin9

MovingForwards said:

rabialiones said:

elderly relative has approached me for advice , worried about current situation , and wants to make some preparations if worst was to happen, so any help would  be appreciated.
they are a childless couple, owning their own home, want to sort things out whilst they are still around.
they have  brothers/sisters abroad whose children are in uk and step brother/sister neices/nephews  also in uk, but want to pass some thing on to their chosen charity as well.
what would be the best  and easiest way to acheive this,and who would be entitle to their possessions,
 without causing too much hassle for the above people, and not having to go through legal/probate channels etc.?
would it be will, gift , or trust deed etc?

A will, correctly drawn up, ideally by a solicitor. They tell the solicitor who they want to receive what, the solicitor puts it all into the will, the will is signed and witnessed, filed away until the person dies.

Anyone owning a home, money in the bank, stocks and shares or other assets will require probate done on their death to enable the property to be sold and the wishes within the will followed.

Agree with this. My wife and I are in the same situation. Original wife goes back to our marriage, revised a few years ago and we looked at them during lockdown (and prepared our funeral wishes) and added a covering letter with details of up to date addresses.  Token donations to members of family so they can't claim they were ignored. 
Be selective over your executors and don't nominate the bank or solicitor as one.

rabialiones

what would happen if a will isn't made

Savvy_Sue

rabialiones said:

what would happen if a will isn't made

https://www.gov.uk/inherits-someone-dies-without-will

The charities would get nothing. 

AnotherJoe

Robin9 said:

MovingForwards said:

rabialiones said:

elderly relative has approached me for advice , worried about current situation , and wants to make some preparations if worst was to happen, so any help would  be appreciated.
they are a childless couple, owning their own home, want to sort things out whilst they are still around.
they have  brothers/sisters abroad whose children are in uk and step brother/sister neices/nephews  also in uk, but want to pass some thing on to their chosen charity as well.
what would be the best  and easiest way to acheive this,and who would be entitle to their possessions,
 without causing too much hassle for the above people, and not having to go through legal/probate channels etc.?
would it be will, gift , or trust deed etc?

A will, correctly drawn up, ideally by a solicitor. They tell the solicitor who they want to receive what, the solicitor puts it all into the will, the will is signed and witnessed, filed away until the person dies.

Anyone owning a home, money in the bank, stocks and shares or other assets will require probate done on their death to enable the property to be sold and the wishes within the will followed.

Agree with this. My wife and I are in the same situation. Original wife goes back to our marriage, revised a few years ago and we looked at them during lockdown (and prepared our funeral wishes) and added a covering letter with details of up to date addresses.  Token donations to members of family so they can't claim they were ignored. 
Be selective over your executors and don't nominate the bank or solicitor as one.

Original "wife" ? Or "will"  ?

bery_451

AnotherJoe said:

bery_451 said:

Mojisola said:

bery_451 said:

So a Gift sounds better than a Will so why would people choose wills over gifts then?

Because people need their own assets to live off and in while they are still alive.

Once they have died, they don't need them any more and so they can be be passed on to other people.

So cant a clause be put in the gift document stating trustees/beneficiaries cant kick out the asset owners or take the assets from the owners while they are still alive?  

Yes but in that case the gift is ineffective as far as IHT is concerned.

You mean Inheritance Tax still gotta be paid on gifts made within 7 years before death if theres a clause in there?

Mojisola

bery_451 said:

So cant a clause be put in the gift document stating trustees/beneficiaries cant kick out the asset owners or take the assets from the owners while they are still alive?  

This is considered to be a gift with reservation and remains part of the estate as far as inheritance tax is concerned.

getmore4less

bery_451 said:

AnotherJoe said:

bery_451 said:

Mojisola said:

bery_451 said:

So a Gift sounds better than a Will so why would people choose wills over gifts then?

Because people need their own assets to live off and in while they are still alive.

Once they have died, they don't need them any more and so they can be be passed on to other people.

So cant a clause be put in the gift document stating trustees/beneficiaries cant kick out the asset owners or take the assets from the owners while they are still alive?  

Yes but in that case the gift is ineffective as far as IHT is concerned.

You mean Inheritance Tax still gotta be paid on gifts made within 7 years before death if theres a clause in there?

I suggest you read the HMRC inheritance tax manual to save people having to answer the most basic of questions.
https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual

To get you started on gifts.(called lifetime transfer)
https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual/ihtm14000

bery_451

Can a Codicil document be only be written by the Testator or by anyone before or after death?
Is Codicil like a add-on to a will or edit an existing will or is it like terms & conditions for a will?

JGB1955

It would be a bit scary if someone could write a codicil after their death. A deed of variation can be written by the beneficiaries after death.

Mojisola

bery_451 said:

Can a Codicil document be only be written by the Testator or by anyone before or after death?
Is Codicil like a add-on to a will or edit an existing will or is it like terms & conditions for a will?

Only the testator can make a codicil to their own will.