Have you ever considered how much your death could cost? It’s not something most of us like to think about, not simply because it’s a cheerless topic! Did you know that dying could cost over £20,000, even before you calculate the funeral bill and take Inheritance Tax into account?
Take the example of someone with a (modest, by today’s property prices) £500,000 estate. Just the procedure of processing their legal affairs could cost £20,000.
We all understand by now that creating a valid Will is a crucial (and simple) task, but there are things you can do within your lifetime which will reduce the monetary and emotional burden on those you leave behind. After all, you can only put these things in place whilst you’re still alive!
Guardian Money recently published a report referring to bank charges on deceased people’s estates. The newspaper asked High Street banks what they would charge on a £520,000 estate (worth £500,000 after debts and funeral expenses) which consisted of £250,000 in property, £50,000 in cash and £220,000 in other assets.
Barclays quoted fees of £22,619 if they were appointed as executor and trustee as well as administrator
LloydsTSB said they would charge £24,205 on the estate
HSBC would charge £19,681, but it should be noted that this fee does not include commission on selling shares or estate agency fees
We think these results are eye-opening and show how valuable it is to shop around whilst you are living in order to make things easier in the event of your death. Do you agree?
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