Law firm Hibberts LLP backed a special event aimed to help people plan for their future and how to fund it.
The ‘mythbuster’ afternoon held at the Methodist Church in Nantwich, comes as the Ministry of Justice is set to impose probate fees of up to £20,000 from May.
Hibberts LLP legal executive Jane Hunter said raising awareness of the fee change was essential so families can plan how they will pay them, as well as other essential future costs like private care or health fees.
Jane said: “There’s still a lot of misunderstanding and myths out there surrounding wills, probate and lifetime planning.
“Often people assume they own certain assets and they don’t.”
Hibberts LLP was one of hundreds of legal firms opposed to the change, which increases probate fees from a flat fee of £215 to up to £20,000 for estates worth £2m or more under the new sliding scale.
The charge is paid in addition to inheritance tax, which is levied at 40% on assets above each individual’s £325,000 threshold.
Jane added: “Estates below £50,000 will pay nothing at all.
“But if they’re worth more than that, they will be forced to pay increased fees for what is essentially, a standard administrative process.
“The farming community will be hit particularly hard by this as their assets are often tied up in the land, so they don’t have access to that cash to pay the fees.
“Now anyone who has not already got their probate application underway will be subject to these new fees, as the process can take around six to eight weeks.”
Jane said the lack of awareness surrounding the fees was just one of several issues which commonly cause confusion for families.
“A lot of people think if they give their property away to their children they can avoid care home fees for example.
“But under insolvency legislation, that transaction can be reversed should you need to go into local authority care.
“So the most important point, which hopefully I was able to get across at this event, is that it’s essential to plan ahead.
“How you want to live now, then at 65, then at 85 can be very different.
“You can’t avoid all the fees and taxes, so it’s important to be aware of them and the impact they have on you and your loved ones.”
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