Protecting You & Your Estate

We appreciate that your wealth has a story. Our clients are of the mindset that they have created wealth and would like to enjoy an income from this and at the same time be in a position to hand this down to the next generation with the knowledge that they are fully prepared for the wealth.

Our role is to have that trusted relationship with yourselves and your loved ones. For some clients, the issue of the next generation is not a consideration. We help them identify causes that are close to their hearts, those that they would like to leave a perpetual legacy to, for the centuries to come. We work closely with our clients and panel of carefully selected law firms both locally and nationally (This may involve services which are separate and distinct to those offered
by St. James’s Place).

Inheritance Tax (IHT)
The first £325,000 of an individual’s estate is taxed at 0% and therefore not liable for IHT. For married couples and civil partners, where the unused full allowance has been passed to their surviving spouse, the first £650,000 is taxed at 0% and anything exceeding this is potentially taxed at 40%.

The introduction of the Residence Nil-Rate Band is also being phased in as follows: £100,000 for the tax year 2017/18 £125,000 for the tax year 2018/19 £150,000 for the tax year 2019/20 £175,000 for the tax year 2020/21 Thereafter it will increase in line with the Consumer Price Index. It has also been confirmed that the existing nil-rate band will remain frozen at £325,000 until the 2021/22 tax year. The allowance applies to those estates that are “closely inherited” and contain a “qualifying residential interest” – this latter point means that the individual must have owned the property and have lived in it at some point. Therefore, with effect from the 17/18 tax year, if you pass your home to your children on death (including adopted, foster or stepchildren) or grandchildren, you will each be able to benefit from the additional Inheritance Tax threshold provided by the Residential Nil Rate Band.

There are a number of steps you can take to mitigate Inheritance Tax:

  • Making sure your Will* is planned and written correctly
  • Through the use of lifetime gifts, you are able to transfer your assets
  • A tax-efficient fund can be created in order for your beneficiaries to meet tax liabilities and avoid eroding your wealth

Pensions can play a significant role in estate planning under IHT legislation. For example, pension death benefits are broadly exempt from IHT. However, under the circumstances of them being passed to your surviving spouse, then they will end up forming part of their estate. We can offer you solutions to prevent this from happening.

The information on this website is based on our current interpretation of the law and HMRC practice. Taxation legislation and HMRC practice may be subject to unforeseen changes in the future.

*Wills are not regulated by the Financial Conduct Authority and advice relating to them involves a service that is separate and distinct from those offered by
St. James’s Place.

Long Term care

Apart from the emotional cost, arranging care for yourself or a loved one is also extremely complicated. Dealing with issues like mental capacity, eligibility for state benefits, Lasting or Enduring Powers of Attorney*, the type and location of the care home and funding the care itself, can cause considerable stress and worry.

Residential care homes for older people in England currently need to charge fees of £696 to £849 per week to generate a sustainable return (£36,192 – £44,148 per year). This increases for those receiving nursing care with costs between £969 and £1,075 per week (£50,388 – £55,900 per year), meaning the costs can be substantial.**

If you are in need of care, and have to fund the fees yourself, you will be concerned with ensuring that you are cared for in a home chosen by you and be confident that you will have enough money to pay the fees for as long as is needed. However, you may also wish to protect your wealth so that some inheritance may be passed on to the next generation.

For those whose home is their only asset and who wish to be cared for in it, there are different solutions available which may be suitable such as unit trusts, ISAs, investment bonds and also equity release***.

Whether you are concerned about saving for care home fees in the future or facing the possibility of needing to pay these fees now, we can help you and your family with the options available.

The value of an investment with St. James’s Place will be directly linked to the performance of the funds selected and the value may fall as well as rise. You may get back less than the amount invested.

The levels and bases of taxation and reliefs from taxation can change at any time and are generally dependent on individual circumstances.

*Lasting Powers of Attorney are not regulated by the Financial Conduct Authority and the writing of them would involve a service that is separate and distinct to those offered by St. James’s Place.

**Laing and Buisson Care Cost Benchmarks Guide Eleventh Edition 2020/2021.

***To understand the features and risks of Equity Release, please ask for a personalised illustration.

If you would like more information please contact AMG Wealth Management on 01332 551155 or email [email protected]

Later Life Planning

Thanks to better medical care and healthier lifestyles, we have the prospect of living longer. But while an increase in life expectancy may seem like good news on the face of it, it has to be recognised that there are a number of financial implications that go with it.

Our later life planning advice enables you to plan for IHT by providing monetary gifts to your loved ones and securing an income to help cover your long term care costs.

We are committed to helping people meet their financial needs throughout their lifetime and long term care planning is no exception. Planning for later life gives peace of mind enabling you to plan your IHT exposure, make gifts to your heirs during your lifetime and secure a pre-set income should you need long term care in the future.

The key benefits are:

  • Safely making monetary gifts to your loved ones
  • Inheritance Tax exposure can be reduced or even eliminated
  • To help you to safeguard against costs, you can arrange a pre-set income for life if required
  • Keeping control of your money
  • Benefit from the use of gifts and trusts*

If you would like more information please contact AMG Wealth Management on 01332 551155 or email [email protected]


*Trusts are not regulated by the Financial Conduct Authority.