What is Estate planning?

Simply put:

Estate Planning is the series of strategies you personally implement to ensure your assets are distributed to the right people according to your wishes when you pass away.

Planning to pass your wealth on to the next generation is best done early, ideally at the beginning of your wealth creation planning.

Estate planning is more than just preparing a valid will.  Many assets that you control will not even form part of your estate.  A good estate plan will

Ensure that ownership and control of your assets passes to the intended beneficiaries in the correct proportions; and

In a way, which results in the least amount of income tax being imposed on the income and capital gains earned on those assets and which protects those assets should a beneficiary be involved in any legal difficulties e.g. bankruptcy or a divorce.

Ensure that your loved ones are well looked after and your affairs are settled according to your wishes, should anything happen to you.

Issues that we believe you should consider when preparing your Will, and other areas within Estate Planning, are mentioned below. It is important to regularly review your Will (at least every three years) to ensure that it continues to reflect your wishes.

Enduring Powers of Attorney –  Consider appointing  Powers of Attorney to ensure your financial affairs can continue to be managed should at any time in the future you become physically or mentally impaired and unable to do so yourself.

Binding Death Benefit Nominations – Super Funds can give you greater Estate Planning control through making Binding Death Benefit Nominations. Consider making such a nomination in arranging your Estate Planning affairs to ensure certainty that your Super Benefits are paid to your correct beneficiary. 

Testamentary Trusts – Discuss with a solicitor about the use of a testamentary trust in your estate planning arrangements to ensure your assets are distributed in the most effective way suitable to your personal situation.

What to do

• Identify the important people in your life; determine their financial needs after you have passed away.
• For Business Owners – Decide what you would like to pass on to your next generation.
• Review your existing Will.
• If you don’t have a Will – See the right Estate Planning Solicitor – We can arrange that for you.
• Make sure you have a Will and Enduring Powers of Attorney.
• Review your insurance policies including the beneficiaries.
• Decide the most appropriate method of passing your Superannuation to the next generation.
• Identifying tax implications that could arise from your Estate Planning.

Did you know?

• Superannuation Binding Death Benefit Nominations expire after three years. Something as simple as this could have a major impact on your Estate Plan, therefore regular reviews of your Estate Planning is essential.
• There may be considerable tax payable when passing on superannuation money to someone who isn’t your dependant.

ACTION REQUIRED:

Regularly review your Estate Planning.

How can we help:

• Consult with you.
• Determine your goals and objectives.
• Implement a suitable strategy.
• Reviewing your plan is important.

Call us on (08) 9256 3788 for your complimentary consultation.

Alternatively you can Contact Us and we’ll be in touch to set an appointment time that is convenient to you.