Discretionary Will Trust

There is a useful article/case study about why people with assets in excess of the Nil Rate Band (£285,000) should consider a Discretionary Will Trust as oppsed to a “normal” will.  Making a Discretionary Will Trust can reduce, or even eliminate, the Inheritance Tax liability on your estate.

Why give it to the tax man when you can leave an extra £114,000 to your beneficiaries?

Site available at  www.discretionary-will-trust.co.uk

Case study article here

Why not use Online Wills??

There are often arguments made against making a will online, usually by people with vested interests in expressing that opinion.

It is however true that some of the online will websites are “lacking” in certain essentials which could lead the unwary inot making a (potentially costly) mistake. Although making a will online will almost certainly save you both time and money, cost should NOT be the driving factor when choosing the online will provider.

Online wills tend to cost between £9 and £45 for a single will and more for mirror wills etc.

The most important things to look for with an Online Will website are:-

1. Ensure it is solicitor checked
2. Ensure there are no hidden costs or additional costs if you decide to make changes later.
3. That there is an option to write a Discretionary Trust Will and/or Enduring Power of Attorney if required.
4. That you can print your will off IMMEDIATELY. There is little point in saving tijme if you have to wait for your will to arrive by post or email.
5. Tha the software it uses has SECURE SSL Links.
6. That it has a free trial and money back guarantee just incase.

Having looked into ALL the Online Will Writing Websites ONLY www.tenminutewill.co.uk offers all of this at a reasonable cost (£29.95). Other websites are either cheaper and lacking, or much more expensive or are similar priced but have hidden future costs should you wish to make changes.

Calculating Inheritance Tax

How to Calculate inheritance Tax

Every individual has a personal allowance for inheritance tax currently set at £285,000. 

Over this value your estate will be taxed at 40%. It is important to note that here is no tax to pay between spouses on the first death. However most couples make the mistake of only having Mirror (joint) Wills that pass everything to the surviving spouse.

This has the effect of giving away the first spouses tax free allowance, so on the dearh of the second partner the whole estate is assessed for inheritance tax. 

Married couples, with sufficient assets, could save the equivalent of their personal inheritance tax allowance by setting up their Wills in a discretionary trust made out in favour of their spouse or children.

You can make a Discretionary Will Trust Online here

There is a comprehensive guide to Discretionary Will Trusts here 

 

 

Discretionary Trust Wills

Nil Rate Band Discretionary Trust Will – Tax Planning Through Wills for Married Couples

Where married couples have combined assets worth more than £285,000 (the current inheritance tax threshold), inheritance tax is potentially payable on the second death. Inheritance tax is charged at 40%.

By preparing tax-efficient Wills, you can ensure that:

1. Combined assets worth £570,000 are capable of passing free of inheritance tax
2. Following the first death the surviving spouse will have access to all of the combined assets.

As a result the sum which ultimately passes on the second death to your children or to other beneficiaries can be increased by up to £114,000 (which would otherwise have been paid in Inheritance tax)

This is achieved by ensuring that in your Wills, you leave the maximum sum, which can be left free of Inheritance Tax (the ‘Nil Rate Band) to a Discretionary Trust.

This can ensure that the surviving spouse can have continued access to all of your combined assets by allowing the Trustees of the Discretionary Trust to either:

1. Make cash distributions from the Trust Fund to the surviving spouse as and when required.
2. Accept a ‘promise of payment’ from the surviving spouse at the outset which will itself then form the Trust Fund (rather than actually requiring payment of the Nil Rate Sum to set up the Trust).

If the ‘promise of payment’ method is used the Trustees can wait until after the surviving spouse’s death before requiring repayment of this sum.

You can find out more about Discretionary Trust Wills and MAKE A DISCRETIONARY TRUST WILL ONLINE HERE

Discretionary Will Trusts and the Budget 2006

*** BUDGET LATEST ***

Discretionary Trust Wills were NOT adversely affected by the Chancellor’s March 2006 Budget and remain one of the few ways of legally minimising your Inheritance Tax Bill.

Click here for more details.

Free Guide to making a Discretionary Will Trust

FREE Guide to Discretionary Will Trusts

You can download a FREE Guide to Making a Discretionary Will Trust here

Make a Discretionary Will Online

Making a Discretionary Will is not difficult. One of the easiest ways to do it is with the Online Will providers.

You can now make a Discretionary Trust Will Online at various websites.

Having looked at most of the offerings available, the BEST BY FAR, in my opinion, can be found at Tenminutewill.co.uk

If you want to go direct to the Online Discretionary Will page click here

TenminuteWill.co.uk is not the cheapest provider (its marginally more expensive than the really cheap ones) BUT it ofers far more than the cheap providers can. There are numerous reasons why it is the best of the Online Will providers but the most important are:-

• It is solicitor checked – vital to ensure you don’t make a mistake.
• You can make FREE updates an changes in the future. Most of the cheaper providers will charge you to make these changes.
• You can print it off immediatley – no waiting around.
• Offers Power of Attorney if required.
• Offers binding service if required.

Visit their home page here

Go direct to their Discretionary Trust Page here

You can download a comprehensive “Guide to Discretionary Trust Wills” or Make a Discretionary Trust Will here

Saving Inheritance Tax

The main reason for making a Discretionary Trust Will is to save on Inheritance Tax. By making a Will written under a discretionary Trust you hcan save up to £110,000 in Inheritance Tax with little or no downside.

One of the easiest ways to make a Discretionary Trust Will is Online.

You can now make a Discretionary Trust Will Online at various websites.

Having looked at most of the offerings available, the BEST BY FAR can be found at Tenminutewill.co.uk

If you want to go direct to their Online Discretionary Will page click here

TenminuteWill.co.uk is not the cheapest provider (its marginally more expensive than the really cheap ones) BUT it offers far more than the cheap providers can. There are numerous reasons why it is the best of the Online Will providers but the most important are:-

• It is solicitor checked – vital to ensure you don’t make a mistake.
• You can make FREE updates an changes in the future. Most of the cheaper providers will charge you to make these changes.
• You can print it off immediatley – no waiting around.
• Offers Power of Attorney if required.
• Offers binding service if required.

Visit their home page here

Go direct to their Discretionary Trust Page here

Make A Discretionary Will Online

Making a Discretionary Will is not as difficult as it may seem. You MUST be careful not to make a mistake so it is NOT something you should attempt to do via the DIY route. It is NOT however necessary to incur typical solicitors fees (although they of course will tell you differently).

You can now make a Discretionary Trust Will Online at various websites.

Having looked at most of the offerings available, the BEST BY FAR, in my opinion, can be found at Tenminutewill.co.uk

If you want to go direct to the Online Discretionary Will page click here

What is a Discretionary Trust Will?

A Discretionary Trust Will is a way in which married couples can minimise or even eliminate the IHT liability simply by making and implementing a pair of correctly worded Wills – known as Discretionary Trust Wills and sometimes referred to as Nil-Rate Band Discretionary Trust Wills.
Discretionary Trust Wills work by making use of the Nil-Rate band (£275,000) of both spouses, rather than just that of the surviving spouse (as would normally be the case).

You can download a comprehensive “Guide to Discretionary Trust Wills” or Make a Discretionary Trust Will here