Generation transfers of wealth in most cases a key part of our legacy. Legacy is far bigger than our finances and we will discuss in our follow up series.
In 1986, the Labour politician Roy Jenkins said “Inheritance tax, is broadly speaking a voluntary levy paid by those who distrust their Heirs more than they dislike the Inland Revenue”.
Plenty have argued that inheritance tax is punitive and discourages people from working harder in their lifetime only for their children to lose out on the reward of their sacrifice.
The Government argues that inheritance tax serves three purposes.
- Tax raised helps for paying for public services.
- Reducing our national debts
- Most importantly to redistribute wealth
It is important to understand that through advice wealth transfers could be done safely.
We offer a range of services below to ensure your beneficiaries receive the legacy as tax efficiently as possible.
For clients:
- Will planning.
- Lasting Power of Attorney.
- Who is assisting financial decisions in old age?
- Reviewing pensions and investments for continued suitability.
For clients’ children/grandchildren:
- Immediate protection needs.
- Making sure children are saving for future.
- School / university fee planning.
- Helping to buy first property.
According to the HMRC, Inheritance Tax receipts for April 2023 to January 2024 are £6.3 billion, which is £0.4 billion higher than the same period last year.
As published by Kings court trust in 2020. It is expected that over the next 20 years, £5.5 trillion will be transferred to the next generation.
For help on generational transfers, speak to one of our financial planners by completing the below
