Planning for the future means more than growing your wealth — it’s also about protecting it and passing it on according to your wishes while minimising any implication that will diminish it when you passed it on to your loved ones.
Estate planning is crucial for individuals and families, regardless of net-worth, age or financial situation, and here are seven things you need to know when you plan your estate:
- Establish Key Objectives: Engage in a strategic discussion to define the key outcomes your estate should achieve for your beneficiaries — whether it’s funding education, supporting vocational paths, enhancing quality of life, or providing for ongoing financial needs.
- Review and Strategies: Assess your current financial structure and develop a tailored intergenerational wealth transfer strategy aimed at reducing tax implications and ensuring a smooth, efficient distribution of assets when the time comes.
- Power of Attorney: Deliberate and nominate someone you trust to manage your affairs and execute your estate plan should you become incapacitated is a critical part of estate planning. This includes both of the deliberation and execution of delegated financial and medical decisions.
- Review Beneficiaries: Certain part of your wealth such as super doesn’t automatically form part of your estate. Make sure your nomination of beneficiaries is current and binding to ensure your super goes to the right people.
- Establish a Valid Will: A legally binding will ensures your assets are distributed according to your intentions. Without one, the state decides how your estate is divided, which may not reflect your wishes.
- Consider a Testamentary or Family Trust: Consider establishing a trust as it can offer improve asset protection, tax advantages, and greater control over how and when beneficiaries receive assets. Speak to a financial adviser to explore the right structure for your needs.
- Keep Your Plan Updated: Major life events — such as marriage, divorce, or the birth of a child — may require changes to your estate plan. Regularly reviewing your documents keeps your plan relevant.
Not Quite Sure Where to Start with Estate Planning?
You’re not alone — thinking about the future and how to protect what you’ve worked hard for can feel a little daunting. But a simple chat with someone who understands the process can make all the difference. Whether you’re just getting started or want to review what you already have in place, we’re here to help.
Book your free 15-minute no-obligation consultation chat with one of our financial advisers today. https://outlook.office.com
