In summary

Talking about death is never easy, but avoiding the conversation often makes things harder for the people we care about most. Our national charity, Hospice UK’s Dying Matters Awareness Campaign takes place at the start of May each year, to encourage open discussions, thoughtful planning and informed decisions that help people die with dignity and leave clear wishes behind.

At Brooks Macdonald, we believe that good financial planning is about far more than wealth creation. It is also about preparing for life’s most difficult moments, reducing stress for loved ones, and ensuring your wishes are respected. As part of Dying Matters Awareness Week, we are proud to share a practical tool designed to help you get your affairs in order and start those important conversations.

When someone dies, their family and friends are often left dealing with complex emotional and administrative challenges at the same time. Locating key documents, understanding assets, settling liabilities and managing tax obligations can quickly become overwhelming.

Putting a clear plan in place can:

• Ease the burden on executors and family members
• Reduce delays in administering an estate
• Help ensure beneficiaries receive what you intend them to receive
• Minimise unnecessary inheritance tax (IHT)
• Give you peace of mind that nothing important has been overlooked

A checklist of what’s important

We’ve included a downloadable workbook, designed to help you document and organise essential information in one place. It can act as a central reference point for your loved ones, making it significantly easier for them to manage your affairs when the time comes.

The checklist helps you record:

• Key contacts – including your financial planner, solicitor, accountant and other advisers
• Wills and powers of attorney – where originals are held and who your executors and attorneys are
• Bank accounts, investments and savings – ensuring nothing is missed or overlooked
• Pensions and life assurance – often some of the most important assets that aren’t actively looked at
• Property and other assets – including ownership and approximate values
• Lifetime gifts – which can have important inheritance tax implications
• Funeral wishes – helping loved ones honour your preferences during an emotional time

Completing the checklist does not require everything to be finalised, but even partial completion can make a meaningful difference for those left behind.

Wills and estate planning

A clearly drafted, up to date Will is the cornerstone of effective estate planning. Without one, your estate will be distributed according to intestacy rules, which may not reflect your wishes and can create additional costs and delays.

Estate planning goes further than simply writing a Will. It involves:

• Structuring how assets pass on death
• Reviewing beneficiary nominations on pensions and life policies
• Planning for incapacity through lasting powers of attorney
• Coordinating family wishes, tax efficiency and long term objectives

Regular reviews are essential, especially following major life events such as marriage, divorce, bereavement or significant changes in wealth.

Understanding inheritance tax

Inheritance tax is often misunderstood, yet it can significantly reduce the value of what you leave behind. Currently, IHT is generally charged at 40% on estates above the available allowances, although various reliefs and exemptions can apply.

Early and proactive planning can help mitigate this, giving you more control over outcomes and potentially preserving wealth for future generations.

Consider this example:
A widow, has an estate valued at £1.5m, including her main residence valued at £500k and investments. She has the standard nil rate band (£325k) and the residence nil rate band (£175k) available, meaning £500k of her estate could potentially pass tax free to her children.

In addition, if her deceased spouse had left everything to her originally, executors would be able to claim the transferable nil rate band for a combined £1m tax-free allowance, leaving the remaining £500,000 excess to be subject to 40% IHT.

With careful planning, Sarah could:

• Make regular gifts from surplus income, which are immediately outside her estate
• Use lifetime gifting allowances and consider larger gifts made more than seven years before death
• Place assets into trust where appropriate
• Review pension death benefits – From April 2027, pensions will not be free from IHT

By taking advice early and structuring her affairs carefully, Sarah could significantly reduce – or even eliminate – that inheritance tax liability, ensuring more of her wealth passes to her family.

Starting the conversation

Understanding that Dying Matters is ultimately about encouraging openness. Tools like the checklist can act as a catalyst for conversations that feel difficult but are incredibly valuable. They help normalise planning and empower individuals to take control of how they are remembered and how their affairs are handled.

Our financial planners are experienced in supporting these conversations with sensitivity, professionalism and clarity.

In summary,

• Planning ahead reduces stress for loved ones and helps ensure your wishes are carried out
• A Will and estate plan should be reviewed regularly
• Inheritance tax planning works best when started early
• Practical tools, such as the Brooks Macdonald “My Documents” checklist, can make a meaningful difference

Contact us

0203 418 0257

info@onekc.co.uk

References

Source: https://www.brooksmacdonald.com/insights/dying-matters-planning-for-peace-of-mind