We all want to make sure our loved ones are protected in the future, however, making plans for this might not always be your top priority. With a bit of planning, the process is achievable and can be very smooth. From Advance Directives to the creation of a Will, we outline some tips to help you protect the future of you and your loved ones.
Create a Will
A will is a legal document that allows you to set out your wishes for the distribution of your assets after your death. It also allows you to outline other matters such as the guardianship of your child(ren). It is important to write a Will, whether or not you consider yourself to own many possessions or finances. You should always leave a clear and legally binding statement of your wishes as a Will is the only way of guaranteeing that your wishes are respected by the people you trust. When someone doesn’t leave behind a Will, the law will determine how your estate is divided when you pass away.
It is never too early to start planning for the future but some key life events may play a factor in your decision of when to write your Will. It is important to ensure your Will is accurate and up to date when you get married, purchase a property, have children or grandchildren, or go through a divorce, for example. There are various ways to ensure your Will is legally binding and written in a proper manner but it is always recommended that an experienced solicitor advises you throughout the process.
Protect Your Assets with a Trust
It makes sense to plan for the future, whether it is for yourself, your loved ones, or your business. To do this, you can protect assets by implementing a plan known as a ‘Trust’. There are various types of Trusts which can protect your assets, including a Lifetime Trust (during your life) and Will Trusts (which are implemented after death). Trusts can be used to help protect assets and save tax; reducing the value of assets without necessarily losing control over what happens to the transferred assets.
Protecting your assets is key when planning for the financial protection of you and your loved ones’ future and implementing a Trust can be key during this process. An experienced solicitor can help create a plan that will ensure a smooth transition to the next generation as well as advise on techniques to mitigate Inheritance Tax, protect assets, and save tax.
Make an Advance Directive
Protecting your financial security is likely not the only thing you will be worried about in the future. Understandably, you will want to ensure your wishes in terms of health and wellbeing are respected. An Advance Directive, also known as a Living Wall, indicates the type of treatment that is acceptable to you should you eventually be unable to communicate or make decisions. It guides your family, and most importantly, the consultants who will be treating you.
When making an Advance Directive, it is a good idea to have a witness while you sign and date the document as this is beneficial in confirming your written wishes. It is also important that those close to you, your GP, and any health professional are made aware of your Advance Directive. A solicitor will be able to help you through this process and ensure your written wishes are kept within your medical records.
Appoint a Power of Attorney
A Power of Attorney enables you to protect the future for you and your loved ones as you can plan who should take care of making decisions for you, should you become incapable in the future. There are three types of Power of Attorney:
Continuing Power of Attorney
This provides someone with the power to deal with your money and/or property.
Welfare Power of Attorney
This allows for making decisions regarding wellbeing and healthcare.
Combined Power of Attorney
This type of Power of Attorney mixes the elements of both Continuing and Welfare Power of Attorney as it provides the power to deal with financial and wellbeing decisions.
It is important that you choose someone who will understand and respect your future wishes when appointing a Power of Attorney. It is recommended that a close relative or loved one should be appointed to the position. A Power of Attorney can only be used once it has been registered at the Office of the Public Guardian which an experienced solicitor will be able to arrange for you.
Where can I find advice regarding my future?
The future of you and your loved ones is important so it is never too early to plan for your future. Regardless of family circumstances, your current well-being, or the size of your estate, making plans for the future will afford you and your loved one’s assurance should you need it in the future. At d and h, our friendly experts are on hand to provide effective legal advice should you be looking to start putting your affairs in order. Our team has decades of experience navigating sensitive, but highly important, legal documents associated with Wills, Trusts, and the Power of Attorney. Looking for guidance?
Get in touch and our specialists will provide friendly, effective advice.