6 Considerations when Planning for Later Life

Planning for later life gives you and your family clarity at difficult times. Whether you are organising a Will, putting Lasting Powers of Attorney in place, or checking tax and care arrangements, a little preparation goes a long way. Below are six practical considerations to help you protect your money, health decisions and loved ones in the UK.

1. Making a Will: protect your loved ones

A clear, up-to-date Will is the foundation of any later life plan. Your Will sets out who inherits your estate, names executors to deal with your affairs and can appoint guardians for children. You can also include arrangements for business assets or pass the family home to specific people.

Practical tips

• Review your Will after major life events, such as marriage, divorce, births or property sales.
• Check that executors and guardians are still willing and able to act.
• Use professional will writing if your estate is complex, for example if you own property abroad or have business interests.

Learn more about our will services and options for an online Will or a bespoke will with expert help at Beneficial Family Wills.

2. Lasting Power of Attorney: give yourself a helping hand

Lasting Powers of Attorney (LPAs) let you choose people to manage your finances or health decisions if you cannot. There are two types: Property and Affairs, and Health and Welfare.

Why LPAs matter

• Without LPAs, if you lose capacity the Court of Protection may be involved, which is time-consuming and costly.
• LPAs must be registered with the Office of the Public Guardian before they can be used - see the official guidance on gov.uk.

If you do not have LPAs in place, speak to us about getting them set up correctly. Visit our Lasting Power of Attorney service page to start.

3. Advance directive: make your final wishes clear

An Advance Decision, sometimes called a Living Will, records your choices about refusing specific medical treatments if you cannot speak for yourself. When properly worded, an Advance Decision can be legally binding.

How to make an Advance Decision

• Be specific about the treatments you would refuse and the circumstances in which your decision applies.
• Inform your family and GP, and ask for a copy to be kept in your medical records.

4. Pensions and finances: identify what you have

People often accumulate multiple workplace and private pensions. You should check nominations, beneficiary instructions and whether any death-in-service benefits apply. Pensions can pass outside your estate in some cases, so clear records matter.

Get the right advice

Pension rules are technical, and a Financial Conduct Authority approved adviser can explain options like drawdown and annuities. If you want a recommendation to a qualified adviser, get in touch and we can help.

5. Tax planning: maximise your allowances

Inheritance Tax (IHT) in England and Wales is charged at 40% on the value above allowances, so sensible planning can protect what you leave behind. Consider how gifts, trusts, and the residence nil-rate band may apply to you.

Simple steps to consider

• Keep records of lifetime gifts and ensure any gifting rules are followed.
• Review whether a trust is appropriate to protect assets for beneficiaries; see our trusts service for options.
• Speak to a tax specialist for complex situations, and consult HMRC guidance on Inheritance Tax.

6. Care cost planning: manage potential contributions

Planning for care funding is an important later life issue. The government has previously announced plans for a cap on care costs, and rules around eligibility and what counts towards any cap can change. Local authority means tests determine whether you qualify for support.

Practical actions

• Ask for an independent care fees assessment if you are told you must self-fund.
• Make sure LPAs are registered so decisions can be made quickly if you need support.
• Discuss asset protection and care fee planning with a specialist adviser as early as possible.

We can put you in touch with independent care fee advisers and tax specialists to discuss your circumstances. If you need help with probate after someone dies, see our probate service.

Next steps

Start by making or reviewing your Will and arranging LPAs. If you are ready, consider booking a consultation so you can talk through your personal circumstances with an expert.

Create an online Will or book an appointment to discuss wills, LPAs, trusts or probate with our friendly team.