Do I need a probate lawyer?

Here are some possible reasons why you might be glad not to face the task of administering an estate and instead rely on a professional lawyer:

1. A tricky Will

Even simple Wills can seem complicated to the uninitiated. Are you sure you have understood the Will? Does the Will create a trust and, if so, do you understand your obligations as a trustee? And what if there isn’t a Will at all or you think there is but you can’t find it?

2. Inheritance Tax

Inheritance Tax has been a hot topic in the media lately. Admittedly, most estates are not affected by it. But for those that are, there can be more to it than meets the eye. It’s not quite as simple as finding out the value of the estate, multiplying it by 40% and sending a cheque to HMRC. You may have to consider how certain assets should be valued (e.g. a share in a business or a jointly owned property). Are any of the assets exempt from inheritance tax and, if so, to what extent? What are “nil rate bands” and which of them apply to your situation? The inheritance tax bill of a single person leaving everything to their nieces and nephews may be significantly different to that of a widow or widower who leaves their estate to their children. And what about when charities share the estate with individuals? You might just find yourself wrestling with obscure concepts like “grossing-up” (or even “double grossing”).

3. Claims against the estate

Are you aware of the types of claim which can be made against the estate and the deadline by which those claims must be made? Do you know how to protect yourself as an executor or administrator against having to fund a successful claim out of your own pocket?

4. How are your Excel skills?

Calculating shares of an estate can be trickier than you might think – it is surprisingly easy to work out what you think are the shares due to each beneficiary and then find there isn’t enough money in the pot (which will mean your accounts do not “balance”, in the jargon). Do you have the accounting skills to keep a good financial record of the estate administration, distinguishing between capital and income, making sure the right people are reimbursed for expenses incurred on behalf of the estate, and working out whether the estate is liable for some income tax or capital gains tax?

5. Trust Registration Service

Are you up to speed with the rules governing the registration of trusts and estates with HMRC? You may well save yourself a headache by asking someone who deals with this type of thing every day.

6. How long have you got?

Do you know what you are getting yourself into? Even a straightforward estate might take a professional lawyer 20 hours to complete. Some estates take an awful lot longer and it can be easy to get lost in the maze, particularly if you have a lot of other responsibilities in your life. There aren’t too many estates I am dealing with at work that I would fancy sorting out in my own time, even for a close relative.

Are you weighing up whether to go it alone or involve a professional in the administration of an estate? Why not get in touch with us to talk it through?