Succession Planning
Is succession planning important to you? What is it exactly?
It is most often passing on the wealth you have accumulated over your lifetime to others in your family in a tax effective way for future generations to receive the benefits.
The key is identifying what it is you want to pass on, who you want to pass to, then understanding the implications and the timing required to fulfill this.
Succession planning can be setting up structures to hold investments to be passed on upon your death or at a nominated date in time. There is the potential some of these structures could be treated separately to your Estate to be a confidential way of passing on wealth to certain individuals. This can be a sensitive matter in split families or those with problematic behaviour.
You could potentially have large capital gains on your investments you intend to pass to your loved ones/intended beneficiaries/charities etc. Depending on your current tax bracket, the connection between you and your intended beneficiary and their potential tax bracket at the time of inheritance starting a process of selling these down over a series of financial years may create a better outcome and reduce any associated Capital Gains Tax. It is important to get this right and having a plan in place to ensure you know what action needs to be taken and when. Working with a Financial Planner, along with your Accountant to facilitate this and guide you through all of the associated tax and other financial planning intricacies of your particular situation and wishes would surely see you and your loved ones/intended beneficiaries in a better position than not taking any action.
Are you aware of how much tax will need to be paid from your superannuation if it is passed on to your non-dependent children or your Estate and what options you have to potentially reduce this?
Do you have assets in Family Trust structures or a Business that need reviewing and future planning?
What can you do? Speak with me today.
Need help?
Do you need financial advice, don’t know where to start?
Asking for help can be a hard thing to do for most people. There is no charge for your initial meeting, as it is an opportunity to determine, what it is you need help with.
It is also completely confidential.
Click below to contact us.