Estate planning can feel overwhelming. It’s something many of us avoid thinking about, but having a clear plan in place means your family and loved ones will be taken care of exactly how you want. At Bulley Davey Wealth Management, we help clients develop clear, practical estate planning solutions. In this guide, we’ll share some essential tips on creating an estate plan that ensures your wishes are carried out.
Why is estate planning important?
Estate planning isn’t just about passing on assets. It’s about ensuring peace of mind, avoiding unnecessary tax burdens and clearly setting out your wishes for your family. According to the Office for National Statistics (ONS), inheritance tax receipts totalled £7.6bn from April 2024 to February 2025, highlighting just how important effective estate planning is for UK families.
Understand inheritance tax
Inheritance tax can significantly reduce the value of your estate if not managed properly. In the 2025/26 tax year, the inheritance tax threshold (also known as the nil-rate band) remains frozen at £325,000, and any estate exceeding this threshold could be subject to a 40% tax rate. However, effective planning can help mitigate this. For example, by using allowances such as the residence nil-rate band (an additional £175,000 if passing your primary residence to direct descendants), couples can potentially pass on up to £1m tax free.
Clearly outline your wishes with a will
Drafting a clear and legally binding will is at the heart of estate planning. Without a will, your assets are distributed according to intestacy laws, potentially causing delays, additional costs and family disputes. The latest figures from the ONS suggest that approximately 60% of UK adults still don’t have a valid will. We recommend reviewing and updating your will regularly – particularly after significant life events such as marriage, divorce or the birth of children.
Appoint trusted executors
Choosing reliable and trustworthy executors ensures your estate is handled efficiently and according to your wishes. Your executor should be someone who understands your intentions clearly and can manage responsibilities such as settling debts, handling probate and distributing assets. Always discuss the role with your chosen executors beforehand, making sure they’re comfortable with the responsibility.
Consider lasting powers of attorney (LPA)
Estate planning isn’t just about managing your assets after death; it’s also about safeguarding your financial decisions during your lifetime. Establishing lasting powers of attorney for property and financial affairs, and health and welfare, allows trusted individuals to make important decisions on your behalf should you become unable to do so. This ensures your financial interests and wellbeing are protected exactly as you intend.
Plan for care costs
As life expectancy increases, planning for potential care costs becomes increasingly important. Setting aside funds specifically for care, or creating trusts, can help protect your estate from being depleted by care expenses. Proper planning provides reassurance that your care needs will be met without compromising your family’s inheritance.
Use trusts effectively
Trusts can be a powerful estate planning tool, offering control and flexibility over your assets. They can protect assets for younger beneficiaries, help minimise inheritance tax and provide financial stability for vulnerable dependants. Trust structures can be tailored precisely to your circumstances, ensuring your wealth benefits those you care about most.
Keep your beneficiaries informed
Transparent communication with beneficiaries helps avoid misunderstandings and conflicts after you’re gone. While you don’t need to disclose every detail, having open conversations about your intentions and overall estate planning approach provides clarity and reduces potential disputes later on.
Regularly review your estate plan
Estate planning isn’t a one-time exercise. Life circumstances, financial situations and tax laws change. Regularly reviewing your estate plan – at least every two to three years, or whenever significant life events occur – ensures it stays aligned with your current situation and wishes.
Seek professional advice
Estate planning can involve complex financial, legal and personal considerations. Working with experienced financial advisers, like the team at Bulley Davey Wealth Management, ensures you receive tailored advice suited precisely to your circumstances. Our advisers focus on your needs, not selling products, guiding you through every step of the estate planning process.
If you’re looking for personalised advice on estate planning, contact our team at Bulley Davey Wealth Management. Estate planning doesn’t have to be difficult. With clear guidance and expert support, you can confidently ensure your wishes are honoured and your loved ones protected.
Ready to take the next step in your estate planning? Contact our experienced advisers today for personal, trusted guidance.
- Risk warning: The Financial Conduct Authority do not regulate wills and Power of Attorneys regulation.