Estate Planning Advice

Make Sure Your Money Goes Exactly Where You Want

Estate Planning is a crucial component of any Financial Plan. You may already have a will in place, but have you considered the tax implications your estate may have on your beneficiaries? Estate planning advice from our Financial Planners on the Central Coast can help.

We can help you with your Estate Planning to ensure that your money and assets go to who you choose, as tax effectively as possible. Our team can help you to make provisions for your family in the event of your passing.

The structuring of your investment portfolio is very important in terms of Estate Planning to protect your family financially upon your death. It is surprising how large an effect investment structure can have on the ones you leave behind.

Your Estate Planning provisions essentially give you a final voice.

Partners in Wealth will work with your solicitor to build an effective Estate Plan into your financial plan so that your direction never waivers.

We Will

  • Liaise with your Solicitor
  • Complete binding death nominations
  • Prepare an Executors dossier
  • Explore the most tax effective options for the division of your assets, including superannuation. (Tax effective estate planning advice)
  • Consider the structure of your investment portfolio from an Estate Planning point of view
  • Explore your insurance options

Case Study 1

Rodd Recently Separated from his Wife

Rodd is 50 years old and recently separated from his wife, Mary, around 2 years ago.

18 months ago, Rodd met Eva and they have been living together for the last 12 months. Rodd does not have any children and has assets in NSW in his personal name.

It is very important for Rodd that Eva is financially secured should something happen to him. Under no circumstances should Mary benefit from his assets.

Rodd dies in a car accident without leaving a Will or any other estate plan documents. Under NSW intestacy law, all of Rodd’s estate would be distributed to Mary as she was still legally married to Rodd at the date of his death. Eva does not satisfy the above requirements of a de facto spouse.

The outcome cannot be more contrary to Rodd’s wishes.

Husband Passes Away
Simon dies leaving an estate comprising a personal investment portfolio valued at $1.2m.

He leaves his whole estate to his widow Sandra, who already earns $180,000 per annum.

Sandra is glad that Simon left her the investment portfolio which she will use to look after their dependent children, Tom, Michael, Sophie and Olivia.

In the first year after Simon’s death, Sandra receives income of $72,000 from the investment portfolio. As Sandra already has income of $180,000, the tax that she will pay on the $72,000 will be approximately $33,480.

If Simon had established a testamentary trust instead, Sandra could have distributed the $72,000 trust income in that first year equally between the four children – that is, each child would have received $18,000 income. As each child would be taxed as an adult, the tax payable per child would be Nil. The tax saving would be $33,480 in one year alone!

These tax free distributions from the testamentary trust could be applied to meet the children’s living and education expenses.