Why you should discuss your finances with your family

16 December 2014

Some of the reasons you might want to discuss your Will, funeral and financial plans with relatives.

What are the benefits of discussing your will with your relatives?

Unfortunately family disagreements about wills following the death of a loved one are all too common. If you speak to family and friends about your intentions beforehand there is much less chance of upsetting arguments when the time comes to distribute your estate after you are gone.

Financially this will leave your loved ones better off as they will not be paying expensive legal bills to get your will clarified.

Read our guide to making a Will.

What are the benefits of discussing your funeral with relatives?

Planning ahead for your funeral and sharing your plans with family makes the whole process less stressful and upsetting for your loved ones after you have gone. 

It also gives you reassurance that your final send off will be exactly as you want it.

Funerals costs are continually on the increase so it is worth while researching what you would like, assessing the cost and then making a plan about how to pay for it. There are a number of options available for people when it comes to paying for your funeral.  

What are the benefits of discussing inheritance with loved ones?

Attitudes to inheritance do appear to differ among the generations. While older people firmly believe that they ought to plan to leave an inheritance to younger generations, when you ask younger relatives you often find that they would rather their elders enjoyed their retirement than scrimped in order to leave something behind.  

Having these discussions often removes the pressure felt by people around the issue.

If you are planning to leave an inheritance it is important to think about doing this in as tax efficient a way as possible to ensure your loved ones are not losing too much of your generous gift.

Can you reduce inheritance tax?

What are the benefits of discussing your later life care with your loved ones?

Planning for care is something that most of us leave until very late and we are urgently in need of assistance.  This often means families are left to decide how best to care for a relative at a very stressful time with no idea how that person would have wanted to be cared for.  

For example, would you rather be cared for at home, would you rather have carers come in to help you or do you think you would find it more comfortable for you for family members to help look after you? 

Can you avoid care costs?

When a person loses capacity and their family can no longer ask them what they want they often feel guilt about having to rely on outside help or to consider using a care home, making sure your loved ones are aware of your thoughts and concerns in advance helps give them clarity over the decisions they make for you in the future.

A Lasting Power of Attorney is a way to ensure that someone you trust - usually a relative or friend  has the power to act on your behalf to make decisions about your care and finances when you are no longer able to. 

Putting one in place puts you firmly in control of your affairs as you decide exactly how much authority your ‘attorney’ would have and whether you want to impose any restrictions.

Find out more about Saga's Lasting Power of Attorney service. 

The opinions expressed are those of the author and are not held by Saga unless specifically stated.

The material is for general information only and does not constitute investment, tax, legal, medical or other form of advice. You should not rely on this information to make (or refrain from making) any decisions. Always obtain independent, professional advice for your own particular situation.