How Should Parents Organise Their Affairs for their Children?

Ensuring that your affairs are in order for your children can bring peace of mind and control both in lifetime and in preparation for after death.

Here are some points to consider:

Putting a Will in Place

This is a key step for anyone with children as it can provide for who would look after them and when they will inherit. Dying intestate can result in unintended consequences and potential disputes which can be stressful and costly for those involved.

Appointing Guardians

Parents can specify in their Wills who they would like to look after their children if they die before the children reach the age of 16. Otherwise it may be necessary to apply to the Court for the appointment of a Guardian.

If you would like tailored advice on putting the right arrangements in place for your children, our team would be happy to help—please contact us (link it as normal) to arrange a confidential discussion.

Trusts

Trust provisions in Wills give flexibility and control as to how and when children can inherit. A Will with trust provisions allows parents to choose an appropriate age and mechanism for inheritance and to appoint trustees to manage the funds.

Reviewing Wills

It is important that Wills are reviewed every five years or so as the appropriate arrangements for children may change as they get older . Wills should also be reviewed after any major changes in circumstances – following a substantial inheritance for example.

Be Aware of Inheritance Tax (IHT)

IHT can be complicated and with the reforms announced in the 2024 Autumn Budget it is expected that many more estates will become subject to Inheritance Tax in the future. A well-structured Will and estate planning advice can minimize and even avoid any liability on an inheritance passing to children or other beneficiaries.

School Fees

Financial Planning advice can help parents plan and budget for independent school fees. In many cases financial assistance comes from grandparents but this can have IHT implications for them. Proper advice can ensure arrangements are structured as tax efficiently as possible.

If you would like tailored advice on putting the right arrangements in place for your children, our team would be happy to help—please contact us to arrange a confidential discussion.