Young Family wih Children
Mr & Mrs Patel are married and in their late 30s. They have one child, Sam, who is 2. They own a house worth £400,000 with a £300,000 mortgage. They have cash assets worth £50,000, with some in joint names and some in sole accounts. Neither has been married before and they have no children from other relationships. They have no Will, and wish to discuss what they can do to protect Sam in the event that they both die before Sam reaches the age of 18.
Mr and Mrs Patel are creating their first Will, and may wish to consider relatively straightforward Wills which would gift everything to each other on first death, and then everything to Sam (and any other unborn children) on second death. They would be able to appoint Guardians to look after any minor children in the event of their death, and trustees to look after assets until their children reach the age of 18.
If one on Mr and Mrs Patel were to die before their time, they may have concerns that the survivor will meet someone new in the future. In this scenario the new partner may acquire rights over the survivors estate, which could result in Sam not inheriting as much as hoped. In this scenario we can advise on utilising trusts to ensure that a proportion of the estate can benefit from some protection for Sam, going forward.