Valuing Assets in a Will (Part 1) – Focused Thinking
Valuing assets in a will is important for a number of reasons. With significant rises in house prices in recent years, more and more people are finding they will be liable for Inheritance Tax (IHT) on their estate after they die. Inheritance Tax is payable on the value of an estate over £325,000 (subject to […]
Valuing assets in a will is important for a number of reasons. With significant rises in house prices in recent years, more and more people are finding they will be liable for Inheritance Tax (IHT) on their estate after they die. Inheritance Tax is payable on the value of an estate over £325,000 (subject to certain exemptions) and the threshold is not due to be reviewed until 2027.
There are many legitimate ways to minimise your IHT liabilities and we usually advise clients on options when writing or reviewing a Will. In order to ascertain if you will be liable for IHT, you first need to make an honest assessment on whether your estate is worth more than £325,000. This is not intended to be an exhaustive list – simply something to get you thinking outside of the box. Oh, and in the next article in this series, you might find even the box has value!
Toys
Exclusive toys that were out of reach when you were a child can stick in the mind for people who find they have more disposable income later in life. Vintage original Star Wars toys can be worth hundreds of pounds today. If you were given a Lego Harley Davidson motorcycle set in 1976 which retailed at £7.89, it could be worth £567 today.
Technology
An unopened iphone from 2007 recently sold for £120K at auction. Apple products, games consoles and even games cartridges can be more valuable than you think. Original sony walkmans from the late 1970s can be worth hundreds of pounds. Remember to think about old technology when valuing assets in a will.
Books
If you’ve got a first edition copy of Charlie and the Chocolate Factory from 1964, you’ve got a golden ticket that might be worth thousands. Most books might be destined for the charity shop, but think carefully before adding it to the pile.
Records
When valuing assets in a will, don’t discount music. Original vinyl from artists such as the Beatles or Elvis can reach huge sums at auction, but much less well known artists can still see records sell for tens of pounds. If you’ve got a large collection built up over many years, it could collectively be worth a significant sum.
Coins
There are 50p coins in circulation today that were minted in 2009 and feature a design of a pagoda at Key Gardens – if you get one in your change, it could be worth significantly more than 50p. There are books available that will give the value of every coin every circulated in the UK
Valuing Assets in a Will – Conclusion
Finally, even items that are broken can be worth significant sums. On a popular Sunday night antiques show on the television recently, a guest with an Omega watch that had been run over by a lawnmower was told the strap alone was worth £3000 and if he got the watch repaired, it could be worth £20,000.
If you would like help writing or updating a will or would like any advice on estate planning or estate executry, please get in touch with a Wallace Quinn Solicitor for a initial conversation.
