Passing on Your Wealth

Passing on Your Wealth

It is important that you plan how to pass on your wealth to avoid disputes and to make sure that your dependants are taken care of. There are however some financial considerations when passing on your estate such as inheritance tax (IHT) which is payable, at a rate of 40% on any amount which exceeds £325,000. For married couples and civil partnerships, you are now entitled to a joint IHT exemption: on the death of the second spouse IHT will only be paid on assets exceeding £650,000. This new change doesn’t affect the spousal exemption – assets passed between spouses on the death of a spouse are free of IHT, no matter what they are worth.

Many of you might want to consider giving gifts to avoid the inheritance tax as it is payable only when the assets are passed on at death. Gifts given in the 7 years prior to death will still be caught. See the Making a Will section for more information.


Use our calculator to find out how much you need to save for your retirement

Further information

Age Concern supports all people over 50 in the UK, ensuring that they get the most from life. They provide essential services such as day care and information.

Impartial Government site giving advice on both state and private pensions