Your will lets you decide what happens to your money, property and possessions after your death.
If you make a will you can also make sure you don’t pay more Inheritance Tax than you need to.
You can write your will yourself within this app platform but you should get advice if your will isn’t straightforward we can offer this service at an additional cost. You can then enter any wishes within the LoveWill App.
You need to get your will formally witnessed and signed to make it legally valid. This will be done via an email that will need to be returned by your chosen witnesses.
If you want to update your will, you need to make an official alteration (called a ‘codicil’) or make a new will this will automatically be sent every time you want to update your Lovewill.
Small changes can be made at any time but they will not become authorised or legal until you request the Codicil and an additional £20 fee has been paid. (This is a fraction of the price compared to a general solicitor.
If you die without a will, the law says who gets what and when with taxation that may not favour your family or wishes.
UPDATING YOUR WILL
You should review your will every month and after any major change in your life, for example:
MAKING CHANGES TO YOUR WILL
You cannot amend your will after it’s been signed and witnessed. The only way you can change a will is by making an official alteration called a codicil.
You must sign a codicil and get it witnessed in the same way as witnessing a will.
There’s no limit on how many codicils you can add to a will.
Every time you amend your will an email with the content with the new changes will be send to your witnesses and they will need to re witness. This will then be over written by our app in house solicitor.
Your new/amended will that is sent will explain that it revokes (officially cancels) all previous wills and codicils. Only your new will can be held in your account all old wills have been lost at this point.
WRITE YOUR WILL
Your will should set out:
This is all pre emptied on the app and ready for your information to be entered or skipped if this does not apply to you.
• who you want to benefit from your will
• who should look after any children under 18
• who is going to sort out your estate and carry out your wishes after your death (your executor)
• what happens if the people you want to benefit die before you? It’s easily changed on the app with minimal cost.
When you need legal advice?
You can get advice from a professional if your will is not straightforward, we can offer this or you can request this from your family solicitor for example:
• you share a property with someone who is not your husband, wife or civil partner
• you want to leave money or property to a dependant who cannot care for themselves
• you have several family members who may make a claim on your will, such as a second spouse or children from another marriage
• your permanent home is outside the UK
• you have property overseas
• you have a business
Keep your will safe use all of our log in defences. Finger print, 6 digit pin code.
Make your witnesses aware that you have a LoveWill on your hand held device.
You can keep your will with you at all times with the LoveWill on your phone tablet or online which means you can access this at any time night or day.
MAKE SURE YOUR WILL IS LEGAL
or your will to be legally valid, you must:
• be 18 or over
• make it voluntarily
• be of sound mind
• make it in writing within the App
• sign it in the presence of 2 witnesses who are both over 18 via email.
• have it signed on your devise by your 2 witnesses, in your company
If you make any changes to your will you must follow the same signing and witnessing process which can be carried out via the LoveWill app which will email each of your witnesses and they will need to counter sign via a link that will be sent via email back to you.
You cannot leave your witnesses (or their married partners) anything in your will.
INHERITANCE TAX OVERVIEW
Inheritance Tax is a tax on the estate (the property, money and possessions) of someone who’s died.
There’s normally no Inheritance Tax to pay if either:
• the value of your estate is below the £325,000 threshold
• you leave everything above the £325,000 threshold to your spouse, civil partner, a charity or a community amateur sports club
If the estate’s value is below the threshold you’ll still need to report it to HMRC.
If you give away your home to your children (including adopted, foster or stepchildren) or grandchildren your threshold can increase to £450,000.
If you’re married or in a civil partnership and your estate is worth less than your threshold, any unused threshold can be added to your partner’s threshold when you die. This means their threshold can be as much as £900,000.
Inheritance Tax rates
The standard Inheritance Tax rate is 40%. It’s only charged on the part of your estate that’s above the threshold.
Your estate is worth £500,000 and your tax-free threshold is £325,000. The Inheritance Tax charged will be 40% of £175,000 (£500,000 minus £325,000).
The estate can pay Inheritance Tax at a reduced rate of 36% on some assets if you leave 10% or more of the ‘net value’ to charity in your will.
Reliefs and exemptions
Some gifts you give while you’re alive may be taxed after your death. Depending on when you gave the gift, ‘taper relief’ might mean the Inheritance Tax charged on the gift is less than 40%.
Other reliefs, such as Business Relief, allow some assets to be passed on free of Inheritance Tax or with a reduced bill.
Contact the Inheritance Tax and probate helpline about Agricultural Relief if your estate includes a farm or woodland.
Who pays the tax to HMRC
Funds from your estate are used to pay Inheritance Tax to HM Revenue and Customs (HMRC). This is done by the person dealing with the estate (called the ‘executor’, if there’s a will).
Your beneficiaries (the people who inherit your estate) do not normally pay tax on things they inherit. They may have related taxes to pay, for example if they get rental income from a house left to them in a will.
People you give gifts to might have to pay Inheritance Tax, but only if you give away more than £325,000 and die within 7 years.
These amounts and advised information may change at any given time. While we will update this information it is your responsibility to monitor the law and your affairs regarding Taxation.
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