No matter where you live in the world, making a will is an important process to go through. By having a will, you ensure that your estate and assets are disposed of in a way that corresponds to your wishes.
If you die without a will, your assets may be distributed according to the law instead of your own wishes. Furthermore, if you are a UK citizen living abroad, your country of residency at the time of death may impact the transfer of your assets and estate in the UK. Therefore, although you are not required to make a will by law, it is the best way to decide what happens to your assets after your death.
Philippines does operate an estate duty tax, and an individual who dies whilst resident in the Philippines who has gross assets over P200,000, will need clearance from the Philippines Bureau of Internal Revenue.
Forced heirship also applies, which means if you die without a will, you could end up falling under the rules of the Philippines which has compulsory heirs. The best solution is to have an up to date will as this will avoid probate and forced heirship issues.
By taking time to set out your will with a financial adviser, you can decide how your assets are allocated should the unexpected happen. Even if you aren’t married, or perhaps divorced, you can ensure that your partner or former partner is provided for.
deVere Philippines understands the complexities surrounding will writing, so we’ve made this process easy for you to help you protect your loved ones and your own wishes. Working together with some of the top UK law firms, we can provide you with comprehensive advice and assistance on wills for your UK based assets wherever your residence may be.
The other arm of Wills is Estate and Succession planning
This involves putting plans in place so that the estate will be administered correctly, legal matters settled, and ultimately all assets distributed according to the will.
Also, if there are any family businesses or companies involved, then all succession matters will be properly administered, and contingency plans will be put in place. This ensures that the correct people or family members will take over the business to ensure its continuation and profitability.
Key issues for the creation of a suitable succession plan include:
- Generational transition - Only a third of all family businesses successfully make the transition to the second generation.
- Alignment of family interests - Alignment of interests between current owners and others becomes more pronounced as members retire and turn over the reins to the new generation, while at the same time looking to the company for their retirement income.
- Balancing of financial revenues – Establishing buyout agreements by focusing on the value of a business, which is based on an earnings capitalization model.
- Interfamily disputes – The interest of one family member may not be aligned with another member. These situations can become more complicated due to unforeseen circumstances such as death or divorce.
- Estate and inheritance problems – These include taxes and probate delays upon death of a family owner.
Contact your deVere adviser to discuss putting estate and succession plans in place.