Managing pension death benefits outside your will Understanding how your pension death benefits are managed is crucial to ensuring your wishes are honoured and your loved ones are properly supported when you’re no longer around. Many people assume that pensions fall within the remit of their will and will be distributed as part of their estate. However, pensions often sit outside the scope of your will, governed by different rules and processes. To make informed choices and avoid unintended consequences, it’s vital to understand how pension benefits are handled upon death and how you can take steps to manage them effectively. This article explores the practical and legal aspects of pension death benefits, the importance of nomination forms, the role of pension trustees, and the tax implications involved. With careful planning, you can ensure your pension benefits are distributed in line with your wishes and in a tax-efficient way. The nature of pensions and death benefits When planning for the future, most individuals prioritise their pension as a crucial source of retirement income. But it also plays an essential role in providing financial support to loved ones in the event of death. Unlike other assets, your pension may not form part of your estate in the typical sense. In many cases, it is held in trust, meaning it is not subject to probate and therefore does not follow the instructions set out in your will. This separation has both benefits and challenges. On the one hand, it works to your heirs’ advantage because pension funds can usually be accessed more quickly than assets going through probate. They are also not automatically subject to Inheritance Tax (IHT). On the other hand, because pensions don’t follow the rules of wills, it becomes necessary to manage your intentions through different mechanisms. Role of the pension scheme trustees When you pass away, the administrators or trustees of your pension scheme have the responsibility of deciding who should receive the death benefits. They are guided, but not bound, by any instructions you’ve given during your lifetime—typically in the form of a ‘nomination of beneficiary’ or ‘expression of wish’ form. Trustees must act in line with the scheme’s rules and use their discretion to consider all potential beneficiaries. Although your nomination is taken seriously and often acted upon, the final decision lies with the trustees. This discretion is why updating your nomination regularly is so important. If your circumstances have changed—such as through marriage, divorce, or the birth of a child—your outdated nomination may no longer represent your current intentions. Types of pension arrangements and death benefits The rules around death benefits differ depending on the type of pension scheme. Primarily, pensions fall under two categories: defined benefit (DB) schemes and defined contribution (DC) schemes. Defined benefit schemes, sometimes known as final salary pensions, provide a guaranteed income in retirement. Upon death, these schemes may pay a survivor’s pension to a spouse, civil partner, or dependant, usually a portion of your pension income. Often they also offer a lump sum if death occurs before retirement, subject to scheme rules. Defined contribution pensions, such as personal pensions or workplace group schemes, accumulate a pot of money based on your contributions and investment performance. On death, the remaining fund can be paid out either as a lump sum or as an income to chosen beneficiaries. Understanding these distinctions is key to planning how your benefits should be distributed after your death. A DC scheme offers far more flexibility and requires proactive planning, while DB schemes are largely prescriptive in their benefits. Completing a nomination or expression of wish form The cornerstone of managing your pension death benefits is the completion of a nomination or expression of wish form. This document tells your pension provider or scheme trustees who you would like to receive your pension death benefits. While not legally binding, your nominations carry significant weight in the trustees’ decision-making process. These forms are separate from your will and typically completed through the pension provider’s online portal or via a paper form. You may nominate anyone, including non-family members, charities, or organisations, and you can include more than one person with designated percentages. It’s crucial to review and update this form regularly, particularly following significant life changes. An out-of-date form can leave trustees in a difficult position and may result in benefits going to someone you no longer wish to support. For example, if you divorced and remarried but failed to update your nomination, your ex-spouse could still be considered a beneficiary. Why your will does not control pension benefits Your will handles the distribution of your estate, which includes properties, personal belongings, investments, and savings. However, most pensions are excluded because they exist within a trust framework and are therefore outside your estate for tax and legal purposes. This structure is specifically designed to give pension benefits special treatment, making them more favourably taxed and free from the delays associated with probate. However, the downside is that people often overlook the need to manage their pensions separately. Assuming that a beneficiary mentioned in your will is automatically entitled to your pension benefits is a common misconception. By managing your pensions through nomination forms and direct guidance to your providers, you ensure greater clarity and alignment with your estate planning. Death before and after age 75: Tax implications Tax treatment of pension death benefits can significantly influence how you structure your nominations and whether your loved ones face tax burdens upon receiving your pension pot. If you die before reaching age 75, your beneficiaries can usually receive your pension fund tax-free, whether as a lump sum or as an income, provided the funds are used or designated within two years of death. This rule applies across most registered pension schemes in the UK. However, if you die after age 75, benefits passed to beneficiaries become taxable at their marginal rate of income tax. The funds can be accessed flexibly, withdrawn in parts, or left invested in a

How to include future child or grandchild beneficiaries in a will Planning for the future inevitably involves anticipating the unknown. One key component of this planning is drafting a will, a legal document that outlines how your estate should be distributed after your passing. While it may seem straightforward to name current loved ones as beneficiaries, the challenge arises when you wish to provide for children or grandchildren who are not yet born or named at the time the will is written. This process of including future generations in estate planning requires careful legal and strategic consideration to ensure your wishes are effectively carried out, no matter when those beneficiaries come into existence. The Legal Framework Behind Your Will In English and Welsh law, a will must meet specific legal criteria to be valid. It must be made voluntarily by someone who is of sound mind and over 18 years of age. It must be in writing, signed by the testator (the person making the will), and witnessed by two people who are not beneficiaries. Within this framework, a will can include clauses that anticipate future events, including the birth of a child or grandchild. Although you cannot explicitly name someone who does not yet exist, you can make provisions using general terms or conditional strategies that accommodate future beneficiaries. These approaches hinge on using precise legal language and often benefit from professional legal guidance to ensure clarity and enforceability. Who Are Future Beneficiaries? Future beneficiaries are individuals who do not exist or are not currently identifiable at the time the will is made. This typically refers to unborn or future-born children or grandchildren. Including them in a will is a common consideration for young parents planning for the possibility of additional children, or for grandparents with expanding families. Future beneficiaries also encompass minors who may not be of legal age when the estate is distributed. In either case, special care must be taken to ensure these individuals are recognised and adequately protected in the distribution process. This consideration can influence other estate planning tools, such as trusts or guardianship appointments, designed to serve the best interests of minors or future family members. Using General Class References One of the most common methods for including future individuals in a will is by using class references. Rather than naming a person outright, the will might state that an asset is to be distributed among “all my children” or “all my grandchildren.” This language allows the will to automatically encompass future-born family members in those categories. However, the legal interpretation of such terms can vary depending on how the will is drafted. For example, “children” could include adopted children, stepchildren, or biological children, depending on context and intention. It is critical that the will explicitly defines the terms used to prevent ambiguity upon execution. Additionally, class clauses generally consider the members of the class at a fixed point in time—either at the death of the testator or when the asset is distributed. In legal terms, this is known as the “class closing rule.” If a parent passes away when their daughter is pregnant, a well-drafted clause should ensure that the unborn child is included in the class of beneficiaries, provided the birth occurs within a reasonable timeframe. Ensuring this inclusion requires foresight and clear drafting. Incorporating Contingent Beneficiaries Another way to include future children or grandchildren is by establishing contingent beneficiaries. In this approach, you name primary beneficiaries but also include instructions for what happens if a particular event occurs—such as the birth of a child, or the death of a primary beneficiary without heirs. For example, a will might state, “I leave £100,000 to my son, Jack. If Jack predeceases me or dies without issue, that amount shall be divided among my grandchildren living at the date of my death.” This method provides flexibility in how assets can be allocated in uncertain future scenarios. While it does not directly guarantee current unborn individuals a share, it ensures your estate adapts to the familial landscape at the point of execution. Establishing Testamentary Trusts A sophisticated and versatile tool for including future descendants in your will is the creation of a testamentary trust. A trust is a legal arrangement whereby assets are managed by trustees on behalf of beneficiaries, according to specific directions included in the will. One major advantage of testamentary trusts is their ability to account for future-born beneficiaries through discretionary provisions. A trust may state that income or capital is to be held for “all my grandchildren,” and trustees can later determine how and when to distribute benefits among this group. This approach also allows for the management of assets intended for minors, shielding them from receiving large sums before reaching financial maturity. Furthermore, trusts can impose conditions based on education, age, or behaviour, giving you greater control over how your legacy supports future generations. Guardianship and Care Considerations When planning for future children, another crucial element of the will is the appointment of guardians. These individuals will take responsibility for your minor children if both legal parents are unable to do so due to death or incapacity. Even though you might not yet have more children, appointing guardians in anticipation ensures continuity of care for all future offspring. In choosing guardians, it’s important to consider their values, lifestyle, geographic location, and financial stability. Your will should contain clear provisions for these appointments, backed by a conversation with the intended guardians, to ensure mutual understanding and consent. Additionally, you may wish to set aside resources specifically for the care and upbringing of future children through a separate trust or financial provision. This dual approach—guardianship for physical care and financial structures for support—offers comprehensive planning for future family needs. Potential Pitfalls and Legal Challenges Including future beneficiaries in a will is not without complications. Ambiguity in language, conflicting interests among beneficiaries, or poor trustee appointments can lead to legal disputes. It is not uncommon for class references to be challenged

Leaving a property that is subject to shared ownership agreements Shared ownership schemes have become an increasingly popular way for first-time buyers and those with lower incomes to take a step onto the property ladder. Despite the advantages of affordability and lower initial investment, circumstances often change, and homeowners may find themselves needing or wanting to move on. Exiting a shared ownership property involves a complex set of procedures, rules, and considerations that differ significantly from a fully owned home. It is crucial to understand your rights, obligations, and the correct process to ensure a smooth transition. How Does Shared Ownership Work? Shared ownership typically involves purchasing a leasehold share of a property—usually between 25% and 75%—from a housing association. The buyer pays a mortgage on their share and a subsidised rent on the portion still owned by the housing association. This model allows individuals to become part-owners, rather than full owners, of the property, providing a viable alternative to traditional home buying, especially in high-demand urban areas. Over time, owners may choose to increase their share through a process known as “staircasing,” eventually enabling them to own 100% of the property. Despite offering greater flexibility, shared ownership is still governed by leasehold law and the specific terms laid out in the shared ownership lease, creating certain complexities when it comes time to exit the arrangement. Reasons for Leaving a Shared Ownership Property People leave shared ownership homes for a variety of reasons, including relocation for work, changes in personal circumstances such as marriage or divorce, financial difficulties, the desire for a fully owned home, or simply to upsize or downsize. Whatever the motivation, it’s important to start with a clear understanding of the contractual requirements and legal implications of your shared ownership agreement. Not reviewing these matters thoroughly can lead to unexpected delays, additional costs, or even legal complications down the line. Therefore, engaging with professional advisers early in the process can make a significant difference to the outcome. Reviewing Your Lease Agreement The shared ownership lease is the definitive document outlining all rights and responsibilities associated with the property. It specifies procedures for selling, including any restrictions imposed by the housing association. Most leases follow a standard model approved by the Homes and Communities Agency, but variations do exist. Typically, the lease will dictate: – Whether and when you can staircase before selling– The method for valuing the property– The process for notifying the housing association of your intent to sell– Timeframes for resale– Provisions for offering the housing association first refusal or a right to nominate a buyer Understanding all these elements is essential before taking any steps towards marketing your share. Initiating the Sale Process The first formal step is usually notifying your housing association that you wish to sell your share. This notification triggers a prescribed process involving valuation, finding a buyer, and securing approvals. Most housing associations include a period—often eight to twelve weeks—during which they retain the exclusive right to find a buyer for your share. This nomination period is designed to ensure that the property remains within the affordable housing pool and is offered first to eligible buyers. During this time, the association may advertise your property via its own networks, local housing registers, and online platforms. They may also host viewings and liaise directly with interested parties. If they do not successfully find a buyer within the nomination period, you are typically free to market the property on the open market through an estate agent. Valuation and Pricing A key stage in the process is obtaining a valuation. Shared ownership leases stipulate that this must be conducted by a RICS (Royal Institution of Chartered Surveyors) accredited surveyor to ensure an independent and robust market valuation of the whole property. Your share is then derived as a fixed percentage of this valuation. The cost of the valuation is usually borne by the homeowner. It’s important to commission a fresh valuation as most housing associations require that it be no older than three months at the start and completion stages of the sale. If the sale takes longer than expected, you may need to pay for updated valuations, adding to your overall costs. Setting the asking price is not as flexible as in a traditional sale. Even if you believe the value of your home is higher based on improvements or market trends, the RICS valuation governs the maximum asking price you can set. Some leases may allow for an upward adjustment for additions and enhancements you have made, such as a conservatory or kitchen upgrade, but this must be evidenced and approved. Costs Involved in Selling Transitioning out of a shared ownership property isn’t just about receiving proceeds from your share; there are also costs to consider. These can include: – RICS valuation fees– Energy Performance Certificate (EPC) costs if your existing certificate is outdated– Administration charges by the housing association– Legal fees for your solicitor– Estate agent fees if the home is marketed openly– Removal and relocation expenses These fees can quickly mount up, and it’s prudent to budget several thousand pounds to cover them all. If you are strapped for cash, it is worth consulting your housing association about any schemes or supports available. Staircasing Before Selling One strategy that may improve your sale prospects or provide more flexibility in terms of pricing and marketing is staircasing. This involves purchasing additional shares in the property—potentially up to 100%—prior to sale. Complete or final staircasing turns the home into a fully owned property, which you can then sell on the open market without any nomination period or housing association involvement. However, staircasing comes with its own set of costs, including valuation, legal and mortgage fees. Whether it makes financial sense depends on the value of the additional shares, the differential in selling price between shared and full ownership, and whether staircasing creates greater buyer interest in the property. Consulting a financial adviser can help determine if this route is beneficial

Planning for charitable foundations or scholarships in your will Understanding how your legacy can continue making a difference after your lifetime is a meaningful step in estate planning. Many individuals who have supported charitable organisations during their lives or who have an enduring passion for education, healthcare, the arts, or social justice may wish to ensure that their values are honoured well into the future. One effective way to achieve this is by including provisions for charitable foundations or scholarships in your will. This approach not only furthers causes that matter deeply to you, but it also creates a tangible, long-lasting impact that can benefit communities for generations. Whether you aim to support disadvantaged students through education, improve public health, or encourage cultural enrichment, planned giving through your estate allows for enduring philanthropic engagement. Understanding Your Philanthropic Goals Before drafting any legal documents, it is essential to reflect on your philanthropic objectives. Consider what societal challenges resonate with you most strongly. Is there a cause you’ve championed throughout your life or a personal experience that shaped your convictions? Some individuals may be inspired by their professional careers—for example, a retired doctor might wish to support medical students, or a former teacher may want to invest in schools serving underprivileged demographics. Others might feel a profound sense of responsibility to give back to their local region, religious community, alma mater, or a disease-related charity due to personal or family experiences. By clearly defining your values and priorities, you will be better positioned to structure your legacy in a purposeful and efficient way. Jotting down these goals and discussing them with family members or a financial adviser can provide invaluable clarity and help align practical steps with personal aspirations. Creating a Charitable Foundation in Your Estate Plan One of the most enduring methods of creating impact is through the establishment of a charitable foundation. A foundation can provide long-term, structured giving tailored to your vision. Depending on how you structure it, your foundation can support a wide range of purposes, from granting direct financial assistance to organisations, funding specific community programmes, or even operating its own charitable projects. There are two main types of charitable foundations: private foundations and charitable trusts. A private foundation is typically a non-profit organisation funded through a single source—your estate, in this case—and managed by a board of trustees who carry out your philanthropic intentions. A charitable trust, on the other hand, is a legal arrangement in which assets are held by a trustee for charitable purposes. Establishing a private foundation through your will requires thoughtful legal and tax planning. It involves drafting a clause in your will that allocates a designated portion of your estate to create the foundation, along with detailed instructions on how it should be managed, what causes it should fund, and how trustees should be appointed. Engaging a solicitor with experience in charity law and estate planning is recommended to ensure all legal requirements are met. If establishing a new foundation seems complex or beyond your estate’s capacity, an alternative is to contribute to an existing foundation or donor-advised fund. This approach offers more flexibility and reduced administrative burdens, while still achieving similar philanthropic goals. Setting Up a Scholarship in Your Will Creating a scholarship is another popular and highly impactful form of giving. Scholarships enable students to access education who otherwise might struggle due to financial constraints. You can set criteria for the scholarships in line with your interests, values, or background. For example, you may wish to support students studying specific subjects like engineering, fine arts, or medicine, or target candidates from underrepresented communities or specific geographic regions. There are several ways you can set up a scholarship in your will: 1. Establish a named scholarship with a university or college. Most educational institutions have existing frameworks to accept bequests and administer scholarships. You will typically work with the institution’s development or advancement office to agree upon scholarship criteria and funding levels.2. Create a scholarship fund through a community foundation or charitable organisation. These entities manage many types of donor-directed funds and offer professional administration. This option provides an opportunity to support students even beyond a specific institution.3. Endow a scholarship fund via a charitable trust or dedicated portion of your estate. This method may provide greater control, but requires meticulous planning and administrative diligence. Once you have decided on a vehicle for the scholarship, you will need to establish the terms in your will. This includes: – How much of your estate will be allocated to the scholarship;– Who will administer the scholarship and select recipients;– The eligibility criteria and renewal conditions;– What happens if the institution or fund ceases to exist or if your stated criteria become impractical in the future. Clear and detailed testamentary instructions are vital in ensuring your wishes are implemented without ambiguity. Tax Benefits and Financial Planning Considerations Giving to charity through your will can offer valuable tax advantages, which can be a particularly helpful consideration for those concerned about inheritance tax (IHT). Under current UK law, gifts to qualifying charities are exempt from IHT. Moreover, if you leave at least 10% of your net estate to charity, the rate of IHT on your remaining estate may be reduced from 40% to 36%. This incentivises charitable giving as a tax-efficient component of your estate plan. However, taxation rules can be complex, and the value of such strategies may vary depending on your overall estate and the timing of implementation. Seeking advice from a tax professional or estate planner can ensure your estate is optimised and that your intended gifts do not unintentionally burden your heirs. Equally important is to assess how your charitable intentions might affect other beneficiaries. Open conversations with your family and advisers can help strike a balance between charitable aspirations and bequests to loved ones. Planning with transparency and purpose minimises potential misunderstandings and ensures that all involved feel respected and considered. Keeping Your Documents and Instructions Up to Date

How to pass on vintage cars or classic vehicle collections Collecting vintage cars or classic vehicles is often much more than a hobby—it’s a lifelong passion, a labour of love, and for many, a significant financial investment. These collections can represent decades of effort, meticulous restorations, hard-to-find acquisitions, and tangible artefacts of automotive history. As such, ensuring that this legacy is preserved and properly passed on is essential, not only for the benefit of future owners or family members but also for the enduring celebration of motoring heritage. Transferring ownership of a cherished vehicle collection, however, is not quite as simple as bequeathing personal property. It involves legal, financial, emotional, and logistical considerations that deserve careful attention. Whether preparing for inheritance, sale, or donation, planning how to best manage and pass on these valued possessions is a noble responsibility that guarantees your automotive legacy continues to inspire future generations. Clarifying Your Intentions for the Collection Before any formal steps are taken, it’s important to reflect on the intended future for the vehicles. Are they to remain within the family? Will they be sold to fund new passions or charitable purposes? Should they be donated to museums or automotive institutions? By clearly defining the desired outcomes, you create a foundation upon which the entire succession process can be built. For instance, keeping the vehicles within the family may necessitate educating the next generation about their value and importance, while donation plans might involve liaising with appropriate museums or institutions that align with your preservation goals. Having candid conversations with family members or potential beneficiaries is paramount. Interest and willingness to maintain or continue the legacy can vary greatly. A grandson might share your enthusiasm for British roadsters, while a daughter may see the fleet as merely valuable assets. These dialogues can prevent misunderstandings or disputes later, allowing the transition to occur with grace and mutual respect. Assessing the Collection’s True Worth Appraising the actual value of the vintage vehicles is a critical step that blends passion with practicality. Market conditions for classic cars fluctuate, often based on scarcity, condition, originality, and provenance. Thus, obtaining professional appraisals for each vehicle is essential. Certified automotive appraisers employ industry-standard metrics, including condition rating systems and comparative sales analyses, to determine accurate valuations. This assessment is not merely about finances—it also impacts insurance coverage, tax obligations, and equitable distribution among beneficiaries. Documentation accompanying each car significantly influences value. Service records, restoration documentation, original sales brochures, photographs, and matching serial numbers all contribute to authenticity and value. Ensuring these documents are meticulously archived provides credibility for both current caretakers and future custodians. Establishing Proper Legal Frameworks With intentions clearly outlined and valuations established, formalising these plans within a legal framework is the next essential task. Consulting a solicitor with expertise in estate planning and automotive assets offers peace of mind that your wishes will be accurately fulfilled. A will is the most common way to specify how assets are distributed after death. However, for complex or high-value collections, establishing a trust can present various advantages. Trusts offer greater flexibility, can minimise probate complications, and provide clearer directives for ongoing vehicle management. For example, if the intent is to allow family members shared use or guardianship of the cars, a vehicle-specific trust can detail maintenance obligations, usage guidelines, and succession of custody. Alternatively, if a charitable donation is planned, working with legal experts ensures the transfer meets regulatory requirements and that tax advantages are optimised. Don’t forget that vehicles registered in your name may also require title transfers, especially if intended beneficiaries reside in different jurisdictions. Ensuring all documentation – such as V5C registration certificates – is consistent and up to date is an integral administrative step often overlooked. Addressing Ongoing Storage and Maintenance Vintage cars do not thrive without care. Unlike many static heirlooms, classic automobiles require consistent maintenance, proper storage, routine exercise (i.e., being driven), and climate-controlled environments to remain in peak condition. As such, legacy planning should consider not just ownership, but preservation. If your heir is unfamiliar with the intricacies of maintaining a Triumph TR6 or an Aston Martin DB5, consider drafting a care manual customised for your collection. This guide might include maintenance schedules, trusted mechanics, storage protocols, and usage guidelines. Alternatively, provisions can be made for outsourcing maintenance and storage. Car concierge services or specialist storage facilities can manage these tasks on behalf of an owner. Including contact information and instructions in the estate documents or trust ensures continuity of care, which directly impacts resale value and the vehicle’s mechanical integrity. Minimising Tax Liabilities and Ensuring Compliance Inheriting valuable assets often carries significant tax implications. Depending on the jurisdiction, inheritance tax (IHT), capital gains tax, or gift tax may apply. Classic car collections, being valuable and discretionary assets, can attract attention from revenue agencies if not carefully planned for. Professional financial advisors and tax specialists can help structure the transition to minimise liabilities. Gifting vehicles whilst still alive can lower potential estate taxes, but this must be documented clearly and in accordance with local laws to avoid future disputes. Some countries allow tax-exempt transfers to registered charities or museums, which could be explored if legacy over profit is the paramount goal. Alternatively, spreading ownership across multiple heirs or using a limited company as a managing entity for the collection can also be considered, depending on the family dynamics and the complexity of the assets. Choosing Between Sale, Succession or Donation There is no one-size-fits-all strategy for how to pass along a collection, making it essential to weigh the pros and cons of each possible route. Passing the collection to heirs often makes sentimental sense; however, it does require buy-in from those heirs. If passion or capacity for upkeep is lacking, the collection may risk neglect. Selling the vehicles, either individually or as a complete collection, brings liquidity but severs the personal emotional bond. In such cases, working with reputable auction houses like Bonhams, RM Sotheby’s, or Historics can ensure your

Leaving behind a digital business: what your will needs to say In an increasingly digitised world, many entrepreneurs have built valuable businesses that exist primarily or entirely online. These digital enterprises—ranging from e-commerce stores and online consultancy platforms to YouTube channels, affiliate marketing streams, and software-as-a-service operations—can represent significant assets with enduring value. Yet, unlike physical assets such as property or stocks, they often remain overlooked when individuals prepare their wills. Failing to plan for the future of a digital business can lead to confusion, financial loss, and even legal disputes among heirs. Given the complexity and highly personalised nature of these businesses, proactive planning is essential. Creating an effective estate plan that accounts for your digital business ensures that this asset is properly managed, passed on, or responsibly wound down in the event of your death. The following discussion explores what steps need to be taken, what your will should include, and how to safeguard your digital business for the benefit of your beneficiaries. Identifying and Valuing Your Digital Business Assets Before including directives about your digital business in your will, it is essential to define clearly what constitutes your digital assets. These may include website domains, hosting accounts, email lists, monetised blogs, eBooks with passive revenue, app portfolios, cryptocurrency holdings associated with the business, subscription services, and social media accounts that have tangible marketing value. Valuing digital assets can be more abstract than with physical assets. However, understanding the monetary worth of your digital business is a critical step. This may involve reviewing cash flow, revenue streams, intellectual property, subscriber numbers, and user engagement metrics. You may wish to bring in a digital business valuator or accountant with experience in online enterprises to assist in estimating its current value and forecast future earnings. Valuation helps determine how your business fits into the larger picture of your estate and informs how it can or should be distributed. Furthermore, this can help establish the fairness of inheritance decisions and provide clarity to your executors and beneficiaries. Appointing the Right Executors and Trustees The executor of an estate is the person legally responsible for carrying out the terms of your will. When digital businesses are involved, it is advisable to consider whether your chosen executor has the technical expertise, business understanding, or willingness to take on such responsibilities. If not, appointing a separate, specially trained digital trustee for this aspect of your estate may be a more prudent approach. A digital trustee can be an individual or a professional (such as a solicitor or a digital business consultant) with the requisite knowledge to manage the platforms, logins, and complexities inherent in digital entrepreneurship. Their role might involve maintaining a profitable online store, transferring ownership of a domain name, or managing recurring income from digital publications. In any case, roles and responsibilities should be clearly spelled out in the will. If multiple parties are involved, such as one executor and one digital trustee, include provisions to ensure smooth communication between them and clarify the authority boundaries, particularly where decision-making about business continuation or dissolution is concerned. Documenting Access To Digital Infrastructure A major point of tension for heirs attempting to manage a loved one’s digital business posthumously is access to accounts and infrastructure. Passwords, two-factor authentication keys, and server details can form near-insurmountable barriers if not documented securely and shared appropriately. As part of your legacy planning, compile a comprehensive digital inventory. This should include: – Website hosting details (usernames, passwords, payment information)– Domain name registration accounts– Social media accounts used for marketing– Email accounts relevant to business communications– File-sharing platforms and cloud storage– Cryptocurrency wallets connected to the business– Online payment systems such as PayPal, Stripe, or bank integrations– Affiliate programme memberships and dashboards– Software licences and subscriptions This information should be kept in a secure but accessible location—a password manager that your executor or trustee can access in the event of your death is an ideal solution. Do not include passwords within the will itself, as this becomes a public document upon probate and could compromise sensitive information. Deciding the Future of the Digital Business Entrepreneurs should consider their intentions for their business once they are no longer around to run it. Should it be sold, transferred, allowed to generate passive income, or wound down altogether? These are not only business decisions but also emotional ones, and they can affect your family’s financial future. If your business relies heavily on your personal input—such as a consulting service tied directly to your expertise—it might not be viable for others to continue running it. In this case, selling assets or closing the business may be the most pragmatic course of action. On the other hand, if your business runs with minimal oversight (e.g. content-based ad revenue, dropshipping) and can continue profitably in the hands of someone else, incorporating a continuity plan is prudent. You may choose to designate a relative or business partner to receive ownership. Providing them with operational manuals, supplier contacts, customer lists, and a six-month transition framework will ensure that they are in a position to keep the business functioning smoothly. If your aim is to sell the business upon death, the will should direct the executor to obtain a contemporary market valuation and sell it on behalf of the estate. Any specific instructions—such as types of acceptable buyers or intentions regarding brand continuity—should be detailed in a separate letter of wishes. Legal and Tax Considerations Including a digital business in your estate comes with legal and tax implications which must be understood and addressed. In the UK, digital businesses are considered personal property and, as such, may be subject to inheritance tax. Depending on the structure of your business—sole trader, partnership, or limited company—the implications will vary significantly. If you operate as a sole trader, your business is not a separate legal entity, and its assets will pass directly through your estate. This makes inclusion in your will relatively straightforward. However, if you have incorporated your business

What to know about passing on loyalty points and rewards schemes In today’s consumer landscape, loyalty programmes have become an integral part of shopping behaviour, travel habits, and everyday spending. Millions of individuals accumulate airline miles, hotel points, credit card rewards, and retail loyalty credits over years of consistent use. These benefits can translate into significant value—free flights, luxury hotel stays, exclusive products or discounts, and more. With that in mind, it raises an important question: what happens to these amassed rewards after someone passes away, and can these benefits be passed on to loved ones? This topic intertwines financial planning with personal legacy, and is becoming increasingly pertinent as digitised rewards programmes expand, and consumers become savvier in managing and optimising them. Understanding the limitations, opportunities, and best practices surrounding the transfer of loyalty points upon death can help protect and potentially gift significant value to family members or other beneficiaries. The Nature of Loyalty Programmes Loyalty schemes are designed by companies to reward repeat customers, incentivise brand loyalty, and gather data on consumer behaviour. These programmes vary widely in nature and structure, from points-based systems that offer discounts and freebies, to tiered membership schemes that provide access to premium services or events. However, one critical distinction is that, technically, most loyalty points or rewards do not represent a financial asset in the eyes of the law. In most cases, they are considered a licence or a benefit granted under specific terms and conditions, rather than owned currency. This makes their legal treatment upon an individual’s death somewhat ambiguous, and, in many cases, up to the discretion of the programme provider. It is vital to not assume uniformity across all loyalty schemes. While some may offer clear channels for transferring or inheriting benefits, others may impose strict policies that cause points to be forfeited upon a user’s death. The first step to any plan regarding loyalty inheritance is to understand the specific rules and contractual language of individual programmes. How Different Industries Handle Points Transfer Upon Death One of the complexities in dealing with digital rewards inheritance is the diversity of programme policies. Different sectors—such as airlines, hotels, credit cards, and retail chains—each tend to approach the matter according to their own operating models and customer service goals. Airline reward programmes Many frequent flyer programmes allow for the transfer of miles upon a member’s death, albeit with certain conditions. British Airways, for example, does not permit miles transfer after death unless the individual was part of a household account, in which case remaining Avios points may be shared among the other members. Conversely, other airlines like American Airlines or Air Canada offer processes for transferring miles upon provision of a death certificate and other documentation. The terms usually require that beneficiaries request a transfer within a certain time frame and sometimes pay a fee. Crucially, if there is no clause in a will outlining what should happen to these points, and the beneficiary doesn’t know to ask, the points may be lost forever. Hotel loyalty programmes Hotel chains exhibit varying levels of flexibility. Marriott Bonvoy reportedly allows for the transfer of a deceased member’s points to an heir, as long as the request is made within a year and supported by legal documents. Hilton Honors and World of Hyatt offer similar provisions. Since hotel points can be redeemed for free nights, upgrades, and packages, the value here can be significant, especially for frequent travellers or elite tier members. Credit card reward schemes Banks and credit card companies typically have some of the strictest policies. While credit card points such as American Express Membership Rewards can usually be transferred to another account upon the cardholder’s death, they may require the closure of the deceased’s account, proof of death, and verification of the estate’s rights. Some UK-based credit card reward schemes may not permit points transfer at all, especially if they are structured as cashback or specific to the account holder. Additionally, combining these issues with outstanding debts can complicate matters further. It’s important to check individual terms, as some providers may allow surviving spouses to take over or inherit points under joint account circumstances. Retail and supermarket rewards Loyalty schemes tied to retailers—like Tesco Clubcard, Boots Advantage, or Sainsbury’s Nectar—often operate without publicly stated inheritance policies. However, these accounts can be manually accessed if someone has access to the login credentials. This raises ethical and legal questions, since using a deceased person’s account without notifying the company may violate the terms of service, even if it seems like an innocent act. On the other hand, some retail schemes are increasingly recognising the long-term relationship with customers and may provide transfer options upon request. Given that retail points can be converted into vouchers or cash-equivalent discounts, it is worth investigating policy guidelines and possibly contacting customer service in the event of a death. Challenges in Inheriting Loyalty Points One of the primary difficulties in dealing with digital loyalty inheritances is the non-tangible nature of the asset. Unlike physical property or stocks and bonds, loyalty points don’t usually exist in legal estate documents unless they have been specifically listed. This creates ambiguity for solicitors and executors managing someone’s estate. Additionally, as loyalty programmes are governed by terms and conditions rather than inheritance law, they can override general testamentary wishes. A will might state that certain points should be given to a named individual, but if the loyalty contract forbids it, the request might have no legal validity. Another challenge is that account access is often password-protected, and the terms of service may prohibit account sharing or posthumous access. Even if a beneficiary knows about the points, retrieving or using them may be technically or legally complicated. Further complicating the issue is the fact that the value of loyalty points is not always clear. Unlike a bank account with a specific value, the real-world worth of a rewards balance depends on the redemption method, point devaluation over time, and availability of products

Creating separate wills for assets held in different jurisdictions In today’s increasingly interconnected world, it is not uncommon for individuals to possess property and financial interests across different countries. Whether it’s a holiday home in Spain, investment property in Canada, or bank accounts in Singapore, holding assets in separate jurisdictions raises unique challenges in estate planning. Given the differences in legal systems, probate processes, taxes, and inheritance laws, crafting an effective estate strategy requires more than a one-size-fits-all approach. One recommended solution for managing an international estate is the creation of separate wills tailored to the rules and regulations of each specific jurisdiction. While this may sound daunting at first, it can be a powerful tool for ensuring clarity, reducing administrative delays, and protecting the interests of heirs. However, drafting wills for multiple countries is not a simple duplication of content, and doing it improperly can lead to conflicts, invalid provisions, and lengthy litigation. In this article, we explore the reasons, benefits, considerations, and potential pitfalls associated with creating multiple wills for assets located in various parts of the world. Why Multiple Wills Might Be Necessary The concept of using more than one will for an individual’s estate often arises when assets are situated in countries with differing legal frameworks. Laws governing property, succession, probate procedures, and taxation can differ dramatically between jurisdictions. In some countries, legal systems may be based on common law (as in the UK, Canada, or Australia), while others follow civil law (such as France, Japan, or Brazil), or religious law (as seen in some Middle Eastern nations). These differences can significantly impact how an estate is administered and how beneficiaries receive their inheritance. For instance, consider a person domiciled in England who owns a villa in Italy and a bank account in the United States. The UK, Italy, and the US have distinct probate rules, inheritance tax systems, and foreign domicile recognition. Administering one global will that encompasses all these assets may lead to delays, additional costs, and confusion among executors and legal professionals. In such cases, a carefully coordinated set of separate wills can make administration smoother and more legally efficient. Advantages of Having Separate Wills in Each Jurisdiction The main advantage of preparing multiple wills is the potential for streamlined administration. Probate — the legal process of validating a will and distributing assets — must often be initiated in the jurisdiction where the assets are located. By having a valid will specific to that region, written in alignment with local law, probate can often be expedited and managed by local legal counsel without awaiting outcomes in a different country. Moreover, separate wills can be strategically structured to align with the tax provisions and inheritance rules of each jurisdiction. For example, some countries impose forced heirship laws (such as in France or Saudi Arabia), requiring specific portions of the estate to go to predetermined heirs. Others may have substantial inheritance tax rates that can be mitigated through careful local planning. Local wills allow estate planners to optimise the distribution in a tax-efficient and lawful manner. Another benefit is linguistic and legal familiarity. A will drafted in the local language, using locally accepted legal terminology, will be more easily understood by courts, notaries, and executors in that region. This reduces the likelihood of misinterpretation, miscommunication, or challenges during probate. Navigating the Legal Doctrines Across Borders A central challenge in international estate planning arises from the conflict of laws principles — the rules determining which jurisdiction’s laws apply to the distribution of assets. These rules vary depending on whether the asset is movable (such as cash or shares) or immovable (such as land or buildings). Immovable assets are generally governed by the law of the country where they are located, regardless of the testator’s domicile or nationality. In contrast, movable assets can often be governed by the law of the deceased’s domicile or habitual residence. For this reason, an estate might be subject simultaneously to multiple legal jurisdictions. This intersection of legal principles increases the risk of contradiction between local inheritance laws and the provisions of a “universal” will. By having a separate will prepared for each jurisdiction, and ensuring these documents are mutually exclusive and carefully coordinated, individuals can reduce the risk of overlapping bequests or inadvertently revoked clauses. Potential Complications of Multiple Wills and How to Avoid Them While multiple wills offer many advantages, they carry the risk of doing more harm than good if not meticulously drafted. One common mistake is creating wills that unintentionally cancel or override one another. In many jurisdictions, a later will automatically revokes earlier wills unless explicitly stated otherwise. If a new will makes no reference to the existence of other wills or contains a general revocation clause, it can nullify prior documents — potentially disinheriting intended beneficiaries or complicating the administration of assets abroad. To avoid such issues, each will must include clear wording that identifies its scope and limits its jurisdiction. For example, the UK will may begin with a statement such as: “This will is made in respect of my property situated in the United Kingdom only and is not intended to revoke any will I have made concerning assets located elsewhere.” This type of clause makes it explicit to courts and executors that the document is part of a global estate plan. Coordination among legal advisers in each jurisdiction is also essential. Lawyers responsible for foreign wills should communicate with each other to ensure consistency, avoid duplicative bequests, and harmonise executor appointments. Without this coordination, there is a risk of appointing different executors in conflicting roles or assigning incompatible powers. Choosing the Right Professionals and Legal Advisors Creating an international estate plan requires a multi-disciplinary approach. Solicitors and estate planners should not only be experienced in local laws but should also understand how foreign legal systems interplay with domestic arrangements. In most cases, you will need to engage separate lawyers for each jurisdiction where you hold assets. These professionals can advise on the

Including military pensions and veteran benefits in your will Estate planning is a crucial aspect of ensuring the smooth transition of assets and entitlements after death. For military veterans, the process requires particular attention to how military pensions and veteran benefits are considered and integrated. These entitlements are often a considerable portion of a veteran’s financial and healthcare support structure and, consequently, are of significance to family members or dependents. Wills and estate documents typically stipulate how assets are to be distributed, and for veterans, it is essential to understand the unique nature of military-related payments and benefits. Not all benefits can be passed down or incorporated traditionally into a will. As such, understanding what can be included, how it can be handled, and what restrictions may apply is fundamental. What Are Military Pensions and Veteran Benefits? Military pensions are retirement payments provided to service members based on their years of service and rank. These pensions are generally earned after a minimum number of years—often 20 or more—and can provide a significant lifelong income stream. Veteran benefits, on the other hand, may include healthcare services provided by the Veterans Health Administration, educational benefits such as the GI Bill, disability compensation, housebound or aid and attendance benefits, and other support services. These benefits are administered through various agencies and government bodies, chiefly the Ministry of Defence and Veterans UK in the United Kingdom. In other countries, such as the United States, similar benefits are managed by the Department of Veterans Affairs. For the purposes of this discussion, we will focus on the systems applicable to British veterans but will highlight universal principles where appropriate. Distinguishing Between Assignable and Non-Assignable Assets A vital step in estate planning for veterans involves identifying which elements of their benefits and pensions can be passed on and which cannot. Military pensions, particularly in the UK, do not usually continue to a beneficiary unless a survivor’s pension has been set up. Hence, a veteran’s will cannot assign ongoing military pension payments unless provisions already exist within the pension plan. For example, under the Armed Forces Pension Scheme (AFPS), there is provision for dependants. Upon the death of a pensioner, a spouse or civil partner may receive a portion of the pension as a survivor’s pension. Children’s pensions may also be payable under certain circumstances. However, these payments are not governed by the deceased veteran’s will, as pension successors are usually designated within the terms of the pension itself. Benefits such as healthcare or disability compensation typically end upon the death of the veteran and cannot be bequeathed. However, there may be one-time payments or bereavement support made to the surviving family members. These should be referenced within the estate handling and may require proper notification to the benefit-issuing authority to facilitate claims. Incorporating Military Pensions in a Will: What Can Be Done Although ongoing pension payments cannot typically be transferred through a will, a veteran can express wishes and provide instructions related to entitlements that may impact the estate. Some suggestions include: – Clarifying the existence of a survivor’s pension and providing beneficiary details– Suggesting how lump-sum payments, such as a final salary or commutation lump sum, should be distributed– Highlighting previous nominations made directly within the pension scheme– Directing any residual funds that result posthumously, such as one-time death benefits, to an intended cause or individual These actions ensure that family members and legal representatives are aware of entitlements and can act to claim or preserve them according to proper channels. In cases where a veteran has opted for a commutation of pension – taking a portion of their pension as a one-time lump sum – that commuted sum becomes part of their estate and can be distributed via a will. It is essential to detail this in the estate planning documentation and specify how these funds should be allocated. Veteran-Specific Support and How a Will Can Reflect It In the UK, veterans may receive support from bodies such as the Royal British Legion, SSAFA (the Armed Forces charity), and Veterans UK. These organisations often provide housing, emergency financial support, and advocacy. While support is not typically transferrable, veterans can indicate within a will their desire for a particular charity to receive donations or their preference that family members seek assistance where eligible. For instance, a veteran who has benefited significantly from help during their lifetime might want to leave a portion of their estate to a veterans’ charity. This can be a valuable and meaningful expression of gratitude, and can be structured as a legacy gift. These gifts are often tax-efficient and can reduce the estate’s liability for Inheritance Tax under UK rules. Additionally, where a veteran was receiving long-term care or equipment provided through veteran aid schemes, the will should include instructions for the respectful return or donation of these items. Many charities facilitate returns or redistribution to other veterans in need. Appointing Executors and Ensuring Knowledge of Military Considerations When drafting a will, the appointment of an executor is a central consideration. For veterans, it may be beneficial to choose someone familiar with military systems or who has legal guidance in handling military documentation and reporting. This executor will often be responsible for notifying Veterans UK or related bodies, managing the cessation or continuation of certain payments, and coordinating with charitable organisations, if applicable. A knowledgeable executor can also ensure that all military documents, service records, pension membership certificates, and identification numbers are on hand – facilitating the logistics of claiming benefits by survivors and handling compliance with governmental rules regarding veteran benefits. Including a “Letter of Wishes” alongside a will may be helpful. This is not a legally binding document but can offer context and guidance to executors or beneficiaries. Veterans could use it to: – Provide contact details for military charities that offer bereavement support– Describe their service history and preferred tributes– Suggest funeral arrangements, especially if military traditions or honours are requested– Clarify intentions for the use of any

What to do when beneficiaries live abroad Managing an estate is inherently complex, but when beneficiaries reside abroad, that complexity increases significantly. From navigating legal jurisdictions and foreign tax laws to ensuring timely and safe distribution of assets, executors must address various cross-border issues carefully. These situations are increasingly common in our globalised world, where families are often spread across continents. Understanding the implications and best practices for handling inheritances when beneficiaries live outside the United Kingdom can help ensure the process is smooth, compliant, and fair. Communicating with International Beneficiaries Clear and timely communication is at the heart of any successful estate administration. This becomes even more crucial when beneficiaries are located overseas. Time zone differences, language barriers, and varying levels of legal understanding can all contribute to miscommunication or misunderstandings. Executors should start by establishing effective lines of communication. Email is typically the most practical tool for cross-border interactions, but in sensitive matters or where significant decisions are involved, video calls or recorded messages may help clarify complex matters. It is helpful to provide detailed explanations and periodic updates throughout the process, particularly when key milestones are reached or documents require their attention. Additionally, confirming the beneficiary’s identity and legal capacity to receive the inheritance should come early in the process. In some cases, official documentation such as certified identification, proof of address, and tax residency forms may be necessary. Where documents require legalisation or notarisation abroad, delays may ensue, making early engagement critical. Confirming the Beneficiary’s Status and Tax Residency Once contact with the overseas beneficiary has been established, it is vital to confirm their current legal and tax status. Many jurisdictions have specific criteria for residents or citizens receiving funds from abroad. Executors must ascertain whether the beneficiary holds dual citizenship, their country of residence for tax purposes, and any relevant legal constraints that might affect the transfer of inheritance. Her Majesty’s Revenue and Customs (HMRC) requires certain details related to overseas beneficiaries, including tax identification numbers (TINs) in accordance with international tax treaties and anti-money laundering regulations. The retention of accurate and verifiable data helps prevent delays or challenges later in the process. In cases where inheritance may trigger tax obligations in the beneficiary’s country, executors should pass this information on, although advising on foreign tax law is beyond their remit. Beneficiaries must be encouraged to consult local professional advisers familiar with estate and international tax law in their jurisdiction. Understanding Tax Implications Across Borders For UK estates, Inheritance Tax (IHT) is levied based on the domicile of the deceased, not the residency or nationality of beneficiaries. Therefore, if the deceased was domiciled in the United Kingdom, their worldwide assets may be subject to IHT. This is often a point of confusion for foreign beneficiaries who assume tax will only arise in their own jurisdiction. While IHT is a charge on the estate rather than the individual inheritance received, other taxes may apply once the inheritance is transferred. For example, in some countries, foreign-sourced inheritance may be considered taxable income or subject to capital gains tax. Countries with which the UK has double taxation agreements may provide relief or exemptions on certain classes of income or gains, but this is by no means automatic. Executors must not provide tax advice outside the UK but should inform overseas beneficiaries that receipt of assets could trigger legal or tax reporting obligations in their own country. Consulting with an international tax specialist or lawyer in the relevant country is critical to avoid unintended liabilities. Navigating Currency and Banking Complications When a beneficiary lives overseas, financial transfers often require careful planning. Executors must deal with foreign exchange rates, bank fees, transfer limits, and potential legal restrictions in the destination country. The banking infrastructure in the recipient’s country can affect how efficiently – and legally – funds may be transferred. Currency fluctuations can significantly affect how much a beneficiary eventually receives. Executors should make clear that any international wire transfer is subject to market exchange rates applicable at the time of transfer, and they bear no responsibility for fluctuations after the fact. Another point of concern is bank compliance. International banks often have rigorous due diligence processes for cross-border transactions, especially involving large sums. Executors might be asked to provide proof of the source of funds, particularly if beneficiaries live in countries with stricter money laundering regulations or in jurisdictions classified as high-risk by financial authorities. Funds should ideally be transferred to a bank account in the full name of the beneficiary held in a reputable jurisdiction. Executors should retain full documentation on all transfers for legal and audit purposes, ensuring that all actions are transparent and compliant with anti-money laundering laws. Transferring Non-Cash Assets Abroad In some situations, inheritance may not be limited to cash. Shares, property, or significant personal belongings may form part of an estate intended for international beneficiaries. Transferring or liquidating these items raises a host of legal, tax, and practical issues. Transferring property, for example, could involve legal ownership being transferred into the name of someone residing overseas. Such a transaction might demand approval from UK authorities and registration in the appropriate foreign jurisdiction. Legal requirements may vary dramatically from one country to another. For instance, some countries have foreign ownership restrictions or require additional documentation. If the beneficiary prefers to liquidate the asset into cash, executors must consider whether the asset, such as property or investments, can be sold promptly and for fair value. There may be capital gains tax consequences in the UK if investments or property are sold, and these should be accounted for within the estate prior to distribution. Personal possessions, especially those of sentimental or artistic value, may require special arrangements for packing and international shipping. Customs duties may apply in the destination country, and items may need a clear declaration of ownership and value. Executors should ensure that shipping is fully insured and tracked to avoid disputes or loss. Legal Documentation and International Compliance Having the correct documentation