Im getting £250,000 Inheritance ,,, benefits will stop .. Best way to invest it ?

moneytree999

aroominyork said:

If you are serious that you would prefer not to receive the money, I think you could authorise the executors to sign a deed of variation to give your inheritance to one of the other beneficiaries or to charity. I don't know however whether that would affect your benefits, if HMRC somehow became aware of it. 

Hi, I have taken advice on this, ( Of course i DO WANT this Money !  ) It wont be possible, as the person who's dealing with Probate , does not want to get involved ..also ive been advised its not a straightforward process, and could cause a lot of hassle and stress, and is quiet a complicated process , I was told from someone who knows about these things + There was a court case recently, where a Judge threw the D.O.V out, and said its Not 'Legal' as far as benefits go 

BridgetTheCat

moneytree999 said:

aroominyork said:

If you are serious that you would prefer not to receive the money, I think you could authorise the executors to sign a deed of variation to give your inheritance to one of the other beneficiaries or to charity. I don't know however whether that would affect your benefits, if HMRC somehow became aware of it. 

Hi, I have taken advice on this, ( Of course i DO WANT this Money !  ) It wont be possible, as the person who's dealing with Probate , does not want to get involved ..also ive been advised its not a straightforward process, and could cause a lot of hassle and stress, and is quiet a complicated process , I was told from someone who knows about these things + There was a court case recently, where a Judge threw the D.O.V out, and said its Not 'Legal' as far as benefits go 

I think DWP would probably regard it as deprivation of assets as well.

DRS1

moneytree999 said:

BridgetTheCat said:

You could buy an annuity which would give you an income for life. Look up ‘purchased annuity’ otherwise you’ll get results relating to pension annuities.  And I’m sure there are others here with more knowledge than me.

Thanks for this Information ..Im investigating .... Looks interesting ! Thanks

If you have health issues then you can get an enhanced annuity.  At least you can with the pension version not sure about purchased life annuities.

Be prepared for a lot of questions about what you have when you were diagnosed and what you are taking for it or what operations you had.

BridgetTheCat

DRS1 said:

moneytree999 said:

BridgetTheCat said:

You could buy an annuity which would give you an income for life. Look up ‘purchased annuity’ otherwise you’ll get results relating to pension annuities.  And I’m sure there are others here with more knowledge than me.

Thanks for this Information ..Im investigating .... Looks interesting ! Thanks

If you have health issues then you can get an enhanced annuity.  At least you can with the pension version not sure about purchased life annuities.

Be prepared for a lot of questions about what you have when you were diagnosed and what you are taking for it or what operations you had.

You’ve never had to fill in a PIP form, have you? 😉

moneytree999

BridgetTheCat said:

DRS1 said:

moneytree999 said:

BridgetTheCat said:

You could buy an annuity which would give you an income for life. Look up ‘purchased annuity’ otherwise you’ll get results relating to pension annuities.  And I’m sure there are others here with more knowledge than me.

Thanks for this Information ..Im investigating .... Looks interesting ! Thanks

If you have health issues then you can get an enhanced annuity.  At least you can with the pension version not sure about purchased life annuities.

Be prepared for a lot of questions about what you have when you were diagnosed and what you are taking for it or what operations you had.

You’ve never had to fill in a PIP form, have you? 😉

I have .. Didnt score high enough

QrizB

moneytree999 said:

.. , ill be using about £15,000 a year of £250,000 to make ends meet ( after ISA Interest ) basically, when im say 72, Ill have nothing !

This question would be better on the Pensions board.

You're 61, and need £15000 a year. That's five or six years until you can claim your State Pension.

6 x £15k = £90k. You'll have £140k left.

moneytree999 said:

 ( NOT Full amount, i reckon about 75%) 

Why do you think you're only going to get 75% of the New State Pension? Have you checked your forecast? What exactly does it say?

https://www.gov.uk/check-state-pension

If you're right, 75% of the full NSP is still £9k a year. You'll need £6k a year from your inheritance to top that up to £15k.

140 / 6 = 22 years, so you won't run out of money until you're (67+22) 89 years old.

moneytree999 said:

Does anyone know best way to invest it, so i can get High Interest

If you're not accustomed to investing, you might want to get professional advice although finding a suitable advisor can be tricky.

Ideally you want to shelter it from tax in eg. an ISA but you can only put £20k a year into one of those so it's going to take you a while to shuffle it all along.

There are safe investment options (eg. index-linked gilts)  that will beat inflation by enough that your funds will last longer than age 89, or riskier ones that should do better but might do worse.

Good luck, whatever you choose.

fryedslyce

Buy a property to rent out, you should be able to get a 7% yield, which would give you an income of £17,500.  That way you still have an asset that will almost certainly appreciate in value and you can sell off when you please.

moneytree999

QrizB said:

moneytree999 said:

.. , ill be using about £15,000 a year of £250,000 to make ends meet ( after ISA Interest ) basically, when im say 72, Ill have nothing !

This question would be better on the Pensions board.

You're 61, and need £15000 a year. That's five or six years until you can claim your State Pension.

6 x £15k = £90k. You'll have £140k left.

moneytree999 said:

 ( NOT Full amount, i reckon about 75%) 

Why do you think you're only going to get 75% of the New State Pension? Have you checked your forecast? What exactly does it say?

https://www.gov.uk/check-state-pension

If you're right, 75% of the full NSP is still £9k a year. You'll need £6k a year from your inheritance to top that up to £15k.

140 / 6 = 22 years, so you won't run out of money until you're (67+22) 89 years old.

moneytree999 said:

Does anyone know best way to invest it, so i can get High Interest

If you're not accustomed to investing, you might want to get professional advice although finding a suitable advisor can be tricky.

Ideally you want to shelter it from tax in eg. an ISA but you can only put £20k a year into one of those so it's going to take you a while to shuffle it all along.

There are safe investment options (eg. index-linked gilts)  that will beat inflation by enough that your funds will last longer than age 89, or riskier ones that should do better but might do worse.

Good luck, whatever you choose.

Thanks ill investigate Gilts etc ... I will need nearer £25,000 a year to live ..i meant £15,000 by using my 'Inheritance' along with 'Interest' from ISA Possibly  ( RE: Pension ..I am short of National Insurance Contributions for a period...I think ive missed the deadline to 'Top UP' i just saw !

Uriziel

I don't understand why you do not want to leave "your area". If you live in sheltered housing does this not mean that the government has put you there in the first place? Why would you not want to just leave? You write that at your age you do not feel interested which makes no sense. If you are 60 I don't see why you would not want a permanent home considering people live up to 100 these days? Your bills will be paid with UC payments as many people do. I still think you should buy a studio or 1 bedroom and then you can continue claiming benefits but without the housing benefit. You will have a better quality of life. You will be able to have guests and whatnot instead of trying to stay on sheltered housing.

moneytree999

fryedslyce said:

Buy a property to rent out, you should be able to get a 7% yield, which would give you an income of £17,500.  That way you still have an asset that will almost certainly appreciate in value and you can sell off when you please.

Good Idea, but my area, properties are £500,000  upwards  ( Flats are £400,000 + ) ..Unless i buy 200 miles away ..but i know nothing about buying to rent out .. dont think i want to get involved