Later Life Planning
Session: 18 February
With the population of the UK ‘getting older’ and indeed the most elderly cohort being the fastest growing segment – advisers have a new set of challenges when prioritising the needs and wants of these clients. With later life planning now more pressing, we looked at some of the issues these clients may face. In particular, how do you ensure clients have enough capital to last them until the end of their lives while balancing their desire to leave assets to the next generation rather than the tax man in the form of Inheritance Tax (IHT)? This can be a tricky balancing act especially should these clients require long term care bringing their assets into consideration from local authority assessments. In addition, what if you don’t want to leave your wealth to the next generation, or to be more specific, certain family members? It’s a situation most will have encountered in their dealings with clients which can lead to awkward conversations.
In this session we had an in depth look at some planning points we need to be aware of when dealing with later life planning, such as the role and responsibilities of attorneys , gifting and the treatment of different types of assets for financial assessment. We also covered off some planning points and things to consider when dealing with some of the more awkward family situations.
Learning Outcomes – to demonstrate an understanding of:
- Later life planning and matching client needs, wants and funding for long term care
- Role of an attorney and gifting
- Considerations when passing wealth to the next generation
To claim your CPD certificate, test your knowledge with the questions below.
Write down your answers to each of the following questions and check your answers when you click through to claim your CPD certificate on the link below.
Test your knowledge
1. Regardless of the type of Power of Attorney a client has in place, what is the key thing a person acting as an attorney must do?
a. Act in the best interests of the donor/grantor
b. Ensure their money is put to good use
c. Make decision based on what the donor/grantor thinks is best for them
2. Who is responsible for overseeing appropriate use of Power of Attorneys?
a. Local Authority
b. Office of Public Guardian
c. Currently it is not regulated
3. Which would not be considered income for the purposes of local authority assessments to long term care requirements?
a. Rental income
b. Income from an annuity
c. Self employed income
To claim your CPD certificate, click here.