Increased living costs reducing inheritances

Fewer people in Northern Ireland and the rest of the UK will be benefiting from inheritances according to Aviva's Real Retirement report.

Just over one in five people who are approaching retirement said they will not be in a position to leave any kind of inheritance behind. Whereas the standard inheritance would include the family home, many soon-to-be pensioners say they will not even be in a position to leave their property behind, with 27% of 55 to 64 years old having an average outstanding mortgage of £70,000.

Increased living costs have meant that many people have had to dip into the equity they hold in their property, and saving money is even further out of the question. Those aged over 55 years old are having to spend substantially more on food and travel costs compared to twelve months ago, and few are in the position to build up any kind of an assets or money pot to form the basis of an inheritance.

Children are not missing out altogether though, as 21 per cent of over 55s say they have given money to a family member to help them out, with 25 per cent of over 75s doing the same. It seems that the trend of inheritances being gifted before death is increasing, as pre-retirees look to help family members-in-need sooner, rather than later.

If you require legal advice from a Will writing solicitor in Northern Ireland about making or updating a Will, about inheritance tax, gifts or trusts, contact Wilson Nesbitt in Belfast or Bangor by calling 0800 840 9293.

Or for more information about Will writing and related matters click here.