The cost of managing an estate

May 15, 2014

The death of a relative is not only usually a distressing time but it can also be a particularly confusing time with all of the things that often need to be done. Managing any estate left behind can be a minefield for anyone with various costs and processes which are alien to most of us. Costs have recently changed across a range of legal requirements. For example, in April this year, the cost for applying for a Grant of Probate through solicitors has risen to £45 to £155, with the cost of a personal application (without the assistance of a solicitor) increasing to £215. Such costs are generally taken from the estate, so reducing the value of the Estate for the beneficiaries. It is not uncommon for beneficiaries to be advised when a will has been written and what they are to be left – it can then sometimes be a shock when they don’t receive the full amount they expected as they hadn’t considered the deduction of costs.

Estate beneficiaries, and trustees, should also bear in mind that inheritance tax (IHT) is being paid by more and more estates as increased property prices push estates over the IHT threshold. In the tax year 2014/2015 the IHT threshold remains £325,000 for individuals and £650,000 for married couples. Any estate value above this is taxable at 40%. According to online estate agency Rightmove, the average price of a detached house in Warrington is currently in excess of £290,000. It is therefore evident that it doesn’t take much for savings and other items to push an estate over the IHT threshold – the average detached house in Lymm is currently valued in excess of £430,000!

Although court costs relating to death may have increased, where individuals are deemed to not be able to make decisions for themselves it is becoming increasingly affordable to apply to the Court of Protection. The Court of Protection makes decisions and appoints deputies to protect the interests of people who lack the capacity to do so for themselves. This includes people with learning difficulties, brain injuries or dementia. Court of Protection fees are to be reduced from £400 to £220 to apply for the appointment of a Deputy for property and financial affairs matters. In Court of Protection matters solicitors fees are also capped.

Whether applying to the Court of Protection, applying for a Lasting Power of Attorney or managing an estate it is always worthwhile speaking with your solicitor at the outset to ensure that all costs have been considered and everyone understands what those costs are – nobody wants any further shocks.

Alexandra Mitchell is a Partner at Watsons Solicitors

Contacting Watsons Solicitors
If you are interested or require more information on any of our services, then please get in touch via the contact form or by contacting us direct on: 01925 571212.

The contents of this article should not be construed as advice and do not necessarily reflect our views. Advice should always be attained in order to assess your own individual circumstances.

Contact Us

If you are interested or require any information on any of our services then please get in touch for an appointment on:

 01925 571 212
Mon-Fri: 9am - 5pm

Latest News

Legal partner talks COVID-19 and community on radio station

A partner at a leading Warrington law firm has appeared on a local radio station to talk about the impact the coronavirus is having on the legal world. Danny Hudson, a partner at Watsons Solicitors also discussed on Radio Warrington’s Business Bites programme the importance of the firm’s community work. Adaptations have been made with […]

Employment law specialist urges businesses to act quickly with furlough decisions

A Cheshire-based employment law specialist is urging businesses to take note of the government’s furlough updates, with one of the key deadlines fast approaching. The current scheme ends on 30 June, with a new flexible coronavirus job retention support programme scheduled to operate until the end of October. However, the new scheme is only available […]

Employment law specialist urges caution as employees return to the workplace

A Cheshire employment solicitor is warning employers to be mindful of potential costly mistakes as lockdown measures ease.   Under updated guidelines, those unable to work from home are allowed back into the workplace, with businesses issued with government guidance on keeping them as safe as possible.   There are concerns across England about the […]

Wills and Probate advice during COVID-19

A Cheshire-based wills and probate firm of solicitors has provided advice and guidance for people updating or preparing new Wills and Lasting Powers of Attorney during COVID-19. Watsons Solicitors, based on Bold Street in Warrington, is adhering to government guidelines and has introduced telephone and video conferencing as an alternative to face-to-face meetings.

Watsons Solicitors
Children Law Accredited
Conveyancing Quality
Criminal Litigation
Family Law Advanced
Personal Injury

Watsons Solicitors is a trading name of Watsons Solicitors Warrington LLP a Limited Liability Partnership registered in England and Wales registered number OC386012 whose registered office is 13 Bold Street, Warrington, WA1 1DJ.

Watsons Solicitors Warrington LLP is authorised and regulated by the Solicitors Regulation Authority number 598547.

Watsons Solicitors
Warrington
Cheshire
WA1 1DJ

01925 444 323
Website managed by Outwrite PR, an online reputation management agency
envelope-oclock-ophonefax linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram