"Given the UK's high divorce rate it's understandable that many parents are pessimistic about how their own kids' marriages will turn out,” said Nick Gartland from Rensburg Sheppards.
Prospect of divorce 'clouding' inheritance plans
According to current research, more than a third of parents do not want to leave their estate to their married children in case there is a divorce and the former spouses inherit some of it.
That’s according to new figures provided by investment firm Rensburg Sheppards, which found that one in four parents thinks their offspring's marriage will end in divorce. Worryingly, this means that many parents are not planning for Inheritance Tax.
“Parents may often be reluctant to interfere in their children's choice of partner for fear of causing a family rift, yet their concerns are more likely to be expressed by putting off [giving] assets to their children or conducting any inheritance planning.”
However, those choosing to not properly detail and plan for their inheritance run the risk of money being given to the taxman instead of loved ones.
Inheritance Tax is currently set at 40% and under modern legislation, any estate up to the value of £325,000 will not be taxed but if you are going to leave more, you need to plan, so that the tax will be minimised.
For more on wills and probate, contact our experts today and make sure should the worst happen, you’re loved ones are catered for.
By wills and probate solicitor, Rob Gore