An estate planning expert and author has advised families to “get talking about death and inheritance” rather than avoiding the issue.
Steve Bish, from S Bish Estate Planning, says being open and frank about your wishes for when you die “can provide peace of mind for all concerned.”
Steve, whose book Where There’s a Will There’s a Way offers advice to people looking to plan properly for their old age and when they pass, says conversations can be the best way to avoid family disputes.
He said: “One in four over 55s have never discussed inheritance, according to recent YouGov research for Mattioli Woods, yet this reluctance could be a recipe for disputes or even costly court cases, so it’s an important conversation to have.
“From 6 April 2027 pensions could potentially become subject to inheritance tax, so even if you don’t think your property might push you over the nil band rating, it’s worth getting advice on your other assets.
“This reluctance is understandable but it can leave families confused, unsure and even hurt if they don’t understand why certain decisions have been made.
“It’s better to bite the bullet and have the conversation. You’ll feel better for it in the long run.”
Steve’s five tips for those who have not had the conversation around inheritance:
- Don’t wait for a crisis to start the discussion Something as emotive as what will happen after your death should be discussed calmly, not when ill health or a family emergency has forced the issue. Have the conversation when people are more likely to be in a calm and rational state of mind, allowing decisions to be made thoughtfully and based on the best outcomes, rather than under the pressure of a current situation.
- Be clear about your wishes One of the biggest causes of disputes over inheritance comes from family members being unclear why certain decisions were made. Your will and matters such as putting Power of Attorney in place shouldn’t just be about money, but about your wishes and why you have come to that decision. Providing context can help family members understand your intentions and clear up any misunderstandings.
- Make it about planning, not money People will naturally think about the division of assets when it comes to inheritance, but responsible financial and estate planning is about so much more than that. Talking about it openly ensures the conversation covers your wishes more broadly, including plans for if you become unwell and what you would like to happen with dependents, making it feel more constructive and less mercenary.
- Ensure key documents are up to date Wills should be updated every few years and after every significant event, such as a marriage, divorce, birth or death. Use the time to review important paperwork including your will, whether you would like to leave a letter of wishes, lasting powers of attorney, and to make sure you are up to date with the latest changes in legislation. With changes to IHT rules and pensions, it is important to ensure you have taken the best decisions to pass on your estate, rather than burden family members with complicated probate and tax bills. This is also a good moment to make sure family members know where your will is stored, as not registering it properly, or leaving it undiscovered, could mean you end up technically dying intestate.
- Seek professional advice where needed Estate planning is complicated and the goalposts keep moving, particularly where pensions and blended families are involved. Not everyone’s estate will be subject to tax, but if you think yours might be, involving a qualified estate planner or solicitor will be worth the fee to help ensure your wishes are carried out in the most tax-efficient way for your loved ones. They can also offer advice on how to leave clear instructions, helping to avoid acrimony between beneficiaries or those who feel they have been wrongly sidelined.
