What happens if you die

Discussion in 'Wills & Estate Planning' started by bob shovel, 12th May, 2016.

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  1. Marg4000

    Marg4000 Well-Known Member

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    Sometimes you have to trust the beneficiaries to work things out.

    Years ago, neighbour's parents died. Left estate equally to 4 siblings. Assets were a business, a PPOR and a holiday unit, all paid off. No CGT involved(pre 1985).

    Everything was valued. One sibling took business and paid cash into estate. One took the PPOR and pad cash into estate. One took unit and received some cash. Remaining sibling (aged 12) had cash put into trust for her.

    All amicable and happy with outcome. Youngest sibling came to live with our neighbour.
    Marg
     
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    But if the will wasn't flexible this would have all come with CGT and stamp duty being triggered.
     
  3. sanj

    sanj Well-Known Member Premium Member

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    yup, I was about to say that ideal scenarios like the above require not just everyone being reasonable and fair but pre-planning prior to the death
     
  4. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    There can be sound reasons for the Executor to delay and defer the estate distribution rather than rip tear bust. Tax law allows 3 years of tax concessions. There can even be a CGT benefit of delaying by up to two years. And then there can be benefits for a executor in NSW delaying by a year + 1 day. Each case on its merits.

    First port of call should be a estate lawyer to understand implications of these decisions. And to understand executor limitations. We see a large number of applications for release of super signed by one executor when the will may require all executors to act jointly. And once its released it may trigger a tax bill. Better to get advice first.
     
  5. PJ1

    PJ1 Well-Known Member

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    Any tips on how to find a solicitor that has financial knowledge in this area ?
     
  6. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Financial knowledge is not really needed - knowledge of the laws is, including tax laws. What are you after?
     
  7. Hamish Blair

    Hamish Blair Well-Known Member

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    If IP’s are held in a DT with a corporate trustee (not that I have this structure - yet), then presume part of the strategy is the ability to “will” the net assets of the trust via appointing offspring as directors of the corporate trustee and making them beneficiaries?

    Still trying to understand this strategy and how to implement. Kids are still young but part of the 20 year plan is to give them a big CGT headache!
     
  8. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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  9. Perthguy

    Perthguy Well-Known Member

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    I wonder who will clean up the trail of digital debris I have left in my wake. I am talking forum memberships, email accounts, facebook, twitter etc, etc. It's not good to leave the accounts active as they can be hacked and misused. So I guess I would need to document them all in a secure way... name of site, username, password etc. But then, the document where all these are stored becomes a security risk. Conundrum.

    Not to mention I don't even know all the email accounts I have had, or how to log into them.
     
  10. MTR

    MTR Well-Known Member

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    I am currently sorting out a Will.

    I have also written down a strategy for my daughters that may work well for them and list of 2 key people will help them with this. I don't want to leave a mess for my children.

    I am also mindful that I want very easy options for my children, they may not be able to deal with or want to do what I am doing.

    MTR:)
     
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  11. JohnPropChat

    JohnPropChat Well-Known Member

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    KeePass with a strong password. Give the password to lawyer/trusted person and the file/instructions to beneficiaries.

    If you want to get even more fancy, email the file to a few people you trust and split the password into a few chunks and spread among trusted people. Should use encoding so you can do n-out-of-m people to unlock the file.
     
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  12. PJ1

    PJ1 Well-Known Member

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    I believe Ive ticked the fair and legal boxes now Im looking to distribute an estate with consideration of the implications wrt tax and fees etc. Lawyer tells me she cant provide any financial advice.
    I attempted to PM you but not possible, Id rather not discuss details on the open forum but understand if you dont reply via PM .
     
  13. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Hi PJ

    Lawyers can't provide financial advice - but what you are talking about probably isn't financial advice. I have turned off my private messages because I just get too many people messaging me. I am also not accepting new clients atm as I have too many existing clients coming back for more. However I do have a waiting list set up - see my signature.
     
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  14. Scott No Mates

    Scott No Mates Well-Known Member

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    Why are you send @Tools to the Men's Shed? He'd much rather the man cave methinks.