Inheritance tax can be a difficult process and a simple mistake could take years to fix (Image: GETTY)
Navigating inheritance while dealing with grief can be a daunting task, but the COO of is warning Brits about three common pitfalls, one of which could leave them waiting years to access the funds and assets they are entitled to.
The first piece of advice is straightforward: “Don’t wait for probate.”
Howard Enders explained that delaying this task in the weeks following death can extend your wait for inheritance by 2 or more years.
Probate is the initial legal step beneficiaries must take to legally validate a will as the last testament of the deceased and designate who is responsible for managing the estate.
The expert highlighted: “There is a general lack of education regarding probate and what happens when you or a loved one passes. Unfortunately, many underestimate the time it takes to receive an inheritance when going through the probate process. Ultimately, this can take over two years, most of the time leaving beneficiaries under significant stress during an already difficult time.”
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He urged people to simplify this process for their heirs by ensuring their will is as detailed as possible and setting up estate plans. This can also involve tools like trusts which enable your beneficiaries to receive their inheritance quicker and more efficiently.
Probate delays can also lead to problems with Inheritance tax, creating a situation where the bill might be due before beneficiaries have access to the funds. However, there is a solution to this predicament in the form of inheritance advancements.
The expert urged Brits to consider this as it can offer a financial lifeline while your beneficiaries are grieving or dealing with the legalities of receiving your assets.
He explained: ” Essentially, an advance is deducted from your total inheritance; there is no out-of-pocket cost, credit or income check. It is a true advance – not a loan!
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“Estate executors can facilitate the process and ensure it aligns with the will. Consulting a financial advisor or attorney is also wise to understand the implications.”
Howard also issued a specific warning for Gen Z, who are currently around 27 years old at the oldest, to start considering estate planning.
He justified this seemingly extreme forward-planning tactic: “With many of you investing in unique assets like cryptocurrencies and managing social media accounts, it’s crucial to start planning now.
“Many don’t realise that estate plans can and should be adjusted to meet your changing needs at any time. Resources like our estate management platform simplify the process, making it easy to start.”