Will trust

Ghhhhrrrr

Not sure if a will trust is the right idea , I want to leave 50% to my daughter from previous marriage on my death , the house is in my sole name , this was for mortgage purposes, it is now mortgage free , can I leave 50% to my husband ? The company who will set it up are saying it will not be protected if I need to go in a care home ,but surly they can’t make my husband homeless ? Other option is to put his name on deeds as tenants in common, but he is likely to need care ( alcoholic ) will a charge be put on the house if he goes into a care home ? I just want to be fair to both & even though I have contributed the most I feel he is entitled to a percentage. 

Keep_pedalling

If one of you needs residential care you home will be disregarded in any financial assessment for care so you do not need to worry about that.

I would strongly recommend that you do not use a will writing company for your wills but use a local solicitor, preferably a STEP qualified one as trusts are needed. 

It sounds like the best option for you both would be to put the house in both names as tenants in common, and in your will leave your share of the home to your daughter giving your husband a life interest. This will create an immediate post interest trust which will give your husband long term security and protect your daughter’s inheritance. It will also avoid a future CGT liability for your daughter and if she is currently not a home buyer protect her first time buyer status and avoid having to pay an additional 5-8% tax when she does buy her home. 

You say that you are concerned about putting the house into joint names but you are only planning to leave half of it to your daughter which would suggest the other half goes to him so I can’t sed a concern in doing that. Who does he wish to leave his estate to? 

Baldytyke88

A 97-year-old relative went into a care home recently, he paid for the first 4-6 months and then the lax payer paid for the final 4 months; it's not necessarily the case that all your savings will be spent on care.

It's not as big an issue as is feared, in my experience.

Ghhhhrrrr

Keep_pedalling said:

If one of you needs residential care you home will be disregarded in any financial assessment for care so you do not need to worry about that.

I would strongly recommend that you do not use a will writing company for your wills but use a local solicitor, preferably a STEP qualified one as trusts are needed. 

It sounds like the best option for you both would be to put the house in both names as tenants in common, and in your will leave your share of the home to your daughter giving your husband a life interest. This will create an immediate post interest trust which will give your husband long term security and protect your daughter’s inheritance. It will also avoid a future CGT liability for your daughter and if she is currently not a home buyer protect her first time buyer status and avoid having to pay an additional 5-8% tax when she does buy her home. 

You say that you are concerned about putting the house into joint names but you are only planning to leave half of it to your daughter which would suggest the other half goes to him so I can’t sed a concern in doing that. Who does he wish to leave his estate to? 

Thank you for replying. He has children from previous so he will leave it to them , that’s interesting about the post interest trust , that hasn’t been mentioned , I’ve had our wills updated but I can’t trust or chance my husband will leave half to my daughter . 

RAS

If you've only recently re-done your wills this is scary. Did you use a solicitor with experience of blended families?

IPDI trusts are one of the most important ways to ensure children from both families inherit something.

I'd suggest appointing your daughter one of the trustees in your will, if you are allowed to do that. It helps protect her interests if you die first and is irrelevant if your spouse dies first.

There are others here more experienced who might comment as well.

poseidon1

RAS said:

If you've only recently re-done your wills this is scary. Did you use a solicitor with experience of blended families?

IPDI trusts are one of the most important ways to ensure children from both families inherit something.

I'd suggest appointing your daughter one of the trustees in your will, if you are allowed to do that. It helps protect her interests if you die first and is irrelevant if your spouse dies first.

There are others here more experienced who might comment as well.

Sounds like the OP needs to consult another solicitor with experience in advising and executing IPDI trusts within wills.

If this is the first the OP is hearing of this sensible safeguard, then the solicitor originally  consulted was a waste of time ( and money). Certainly I would not return to him/her in the circumstances.

Trustee suggestion makes sense, assuming daughter is an  adult. Once will correctly set up, would be a good idea to brief the daughter what this is all about, so she can be properly equipped when/if the time comes. 

We see so many beneficiares consult this forum, absolutely clueless as to the trust arrangements their parents have lumbered them with on death, with no prior warning or guidance. Would be nice if the OP were to be the exception.