Estate planners continue to grapple with client demands for certainty and the need for flexible planning that can adapt to fix problems or when the client’s circumstances change. This half day masterclass will address these areas and the impact family dynamics can have on the estate plan, with sessions on how to future-proof the estate plan, managing inter-generational living arrangements, and effective estate planning for second spouses and children of first marriage.
Future-proofing the Estate Plan to Minimise Challenges
What steps can an estate planner take to minimise the risk of challenge to the estate post-death? This session considers the use of contractual arrangements to protect the estate plan, including:
Ways to manage family provision claims:
Inter vivos strategies:
gifting assets to intended beneficiaries
transferring assets into tailored discretionary trust
gift and loan back arrangements
Mutual wills and option agreements
Documenting decisions to exclude a potential beneficiary from the will:
Dodging the Traps with Inter-Generational Living Arrangements
Many families embark on intergenerational living arrangements without due consideration for legalities or the risks of changes in circumstances in the future. This session considers the issues that can arise and provides strategies for how to manage the risks, including:
Estate Planning for Second Spouses and Children of First Marriages
Each unhappy family is unhappy in its own way, and a blended family increases the likelihood of unhappiness when it comes to estate planning. When a blended family consists of adult children of the first relationship and minor children of the second, there is a tension between the needs of the minor children and the expectations of the adults. This session reviews the practical issues that often arise in the context of blended families and how to deal with these, including:
Identifying the needs of the surviving spouse, minor children vs adult children of the previous relationship
Using testamentary trusts to ensure the surviving spouse is taken care of whilst guaranteeing residual capital to the children
Mutual wills - what can you do to avoid the second partner spending the entire estate and the adult children missing out?
The sufficiency of a life interest over the family home - keeping the second spouse and adult children from the first marriage happy
The advantages and disadvantages of providing the spouse with a right to reside in the main residence
- Second spouse planning and SMSFs
Estate Planning Using the Small Business 15-Year Exemption
The small business 15-year exemption is a highly potent estate planning tool - when available, it can enable the disposal or transfer of CGT assets tax-free. This session uses case study examples to consider how and when the 15-year exemption can be used for the purposes of transferring assets from one entity to another. It covers:
- What types of assets may be eligible?
- Active assets
- Passively held assets
- Partnership and partner’s assets
- Which taxpayers are eligible for the exemption?
- Small business entity
- CGT concession stakeholders
- 55+ yrs or permanently incapacitated
- Consequences when the exemption applies