Thinking about what will happen to your estate when you’re gone might not be top of your list of priorities, and you wouldn’t be alone.
In fact, according to Today’s Wills and Probate, 49% of UK adults don’t have a Will in place at all, with many saying that it’s on their to-do list. However, the survey also suggests that almost a quarter of people who plan to make a Will said they would “rather watch TV”.
Similarly, Just Group reports that 59% of over-75s are yet to set up a Power of Attorney (PoA) – a crucial document that allows you to nominate separate attorneys to handle your health and care or financial decisions if you’re unable to.
There are several reasons why you might not have considered your estate plan. For instance, if you’re younger, you might assume that you don’t need to worry about it yet. Indeed, Just Group found that a third of over-75s said creating a PoA wasn’t appropriate at their age.
So, in light of these statistics, we’re pleased to announce a new collaboration with Which? . This new partnership offers estate planning services and legal advice for Flying Colours clients at a 20% discount. So, if you haven’t yet considered your estate plan, now might be the perfect time to write your Will and create a PoA.
Estate planning isn’t just about dividing up your assets when you’re gone either. There are many other reasons to take advantage of the excellent service from Which? regardless of your age or personal situation.
Read on to learn five lesser-known benefits of creating a Will and PoA.
1. Specifying your funeral wishes
As well as deciding how your estate is divided, you can use your Will to specify your funeral wishes. This ensures that you have the send-off you hoped for and could reduce stress on your loved ones.
If you’ve made the arrangements and left clear instructions, planning your funeral could ease the burden on your family during an already difficult time.
You might also want to pay for the funeral now. Considering SunLife reports that the average cost of dying in 2023 was £9,658, this could significantly reduce the financial burden on your loved ones.
If you haven’t pre-paid funeral costs and the executors of your Will can’t immediately access your estate for any reason, your family may have to cover the cost themselves and recoup the funds later.
2. Naming a guardian for your children
If you’re a parent with young children, making sure that they are cared for if something happens to you is likely a priority. Fortunately, you can make plans for this eventuality in your Will by naming a legal guardian for your children. This person will take care of your children in the event that both parents pass away.
However, if you don’t name anybody, the courts will ask social services to assess potential guardians and choose the most suitable candidate. This could mean that your children are cared for by somebody you wouldn’t have chosen yourself. The uncertainty could also cause unnecessary stress and anxiety for your children.
As well as choosing who looks after your children, you can also decide who manages their inheritance until they’re 18 and how they can use the wealth before then, if at all. For example, you might specify that they can only use it to pay for education.
An PoA may also help you ensure somebody looks after your children if you have an accident or fall ill and can’t care for them yourself. This is because, while an PoA can’t name somebody to act as a legal guardian, it does give your attorneys access to your finances and your home.
This means they can pay for anything your children need, and stay in the house with them, if necessary. You may want to discuss this eventuality with your attorneys when creating your PoA, so they understand their care responsibilities.
3. Deciding what happens to your pets
While most people consider pets part of the family, the law views them as property. As such, if you don’t mention them in your Will, your executor or the courts will decide what happens to them.
They may be passed to one of your beneficiaries with the rest of your possessions. However, this beneficiary might not be the most suitable person to care for your pets. That’s why it’s important to leave clear instructions in your Will about who should care for your animals when you pass away.
An PoA could also be useful here as, if you’re in hospital or otherwise incapacitated, your attorneys can access your property to care for your pets.
4. Protecting you from fraud
Scammers often target vulnerable people with reduced mental capacity as these individuals may find it more difficult to spot the tell-tale signs of fraud.
Indeed, according to the University of Michigan, you’re more likely to be targeted by a scam if you’re aged 50 to 80 with:
- Poor mental or physical health
- Disabilities
- Fair to poor memory.
Additionally, individuals in these groups reported being less confident about spotting scams than younger people or similarly aged people in better health.
Fortunately, if you create an PoA, your attorneys can take over your finances if you’re in vulnerable circumstances, meaning you may be less likely to be the victim of fraud.
5. Securing your digital legacy
Social media allows us to document much of our lives online, but have you considered what happens to your accounts when you’re gone? This could be important as there might be sentimental photos that you want your family to be able to access. Additionally, you could have sensitive information on social media that you need to protect.
Most platforms allow you to name somebody to take control of your accounts if you pass away, but the process is different for each. For example, Facebook allows somebody to close the account or create a legacy account, which stays live as an online memorial.
It may be useful to leave instructions in your Will, so the relevant people have your details and understand the process for taking over the account. You may also want to give specific instructions about what you want them to do with your social media profiles.
These are all important benefits of creating a Will and PoA. So, regardless of your personal situation, you may still want to consider your estate plan.
Get in touch
If you are yet to create an estate plan, our partnership with Which? means you can benefit from a reduced rate on Will writing and PoA services.
All Flying Colours clients are entitled to a year’s worth of legal services from Which? at a discounted rate, allowing you to create a basic estate plan.
Alternatively, if you have more complex estate planning needs, we can discuss your options and refer you to a specialist.
Email hello@fcadvice.co.uk or call 0333 241 9900 for more information.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
The Financial Conduct Authority does not regulate estate planning, Lasting Powers of Attorney, or Will writing.
