Setting up a trust ...is it easy ? can I do it myself ?

[Quovadisuk]

From what I have read its claimed that setting up a trust to ring fence your property and savings from nursing home fees ( if they ever arose) that its now not worth the effort as councils are challenging and winning the challenges to seize assets and savings anyway ....is this really true?

The other issue is that I wanted to set up a trust that ensures that if anything happened to myself or wife we each would receive each others assets and savings in full at the moment the house is in my wife's sole name should that change or doesn't it really matter as we are legally married anyway If anything happened to myself and my wife then everything would be left to her sister BUT she has two sons who are to say the least are quite rude and unhelpful that we have decided these two will not benefit from anything of our hard work over the many years including assets savings or personal effects etc ... How can I set a trust will up that incorporates these wishes and can be assured that these wishes are upheld at all times ? I also have two sons and a daughter from a previous marriage many years ago are also hostile

Finally I own 50% shares of a ltd company, which would go to my wife if I should pass first but how can I ensure that if my wife passed away that a claim against the company be made by the sons or anyone at a later date ...? Is this something I can set up myself ?

Sorry to be so vague on the above, but I am no expert in this field hence the new thread . Any help appreciated Kind regards

[Peridot]

Hi Quovadisuk,

You are right to be concerned about the ring fencing options. Intentional deprivation of assets is becoming a more commonly pursued option for local authorities with the increasing age of the population and the resulting need for care in later years. Unfortunately there is no hard and fast rule with regard to pursuing these claims, much depends on the local authority you come under and how aggressive they decide to be. As I mention it is becoming more common for LA's to 'look behind' all sorts of arrangements people have for their assets these days so then you get into the realms of analysing whether the risk is worth it.

As far as the property being in your wife's sole name this can be dealt with in a number of ways. The property could be transferred into both your names and held as tenants in common so each of you would own a specified share of the property (or 50/50 if there is nothing to indicate otherwise) You would then need to ensure that you both have a Will that leaves your share to whomever you wish but also allows the survivor of you to remain in the property. There are tax implications depending how this is done for example if the property was let out creating an income for the survivor. You would also have to consider what should happen if the survivor wished to downsize or move elsewhere.

A benefit for doing this would be the fact that should either of you need to move to a care home of have care funded in your home and were entitled to LA funding of any description then only that person's 'share' of the property would be considered when calculating any contributions not the value of the whole property. The LA can also not force a sale of the property while one of you remains living there.

You could also have a Deed prepared that leaves the property in your wife's sole name but provides you with a beneficial interest in the home. You would need this drawn up to again deal with the above issues of what happens if your wife were to pass away first. Wills are of course also important. You would also have certain rights as the spouse. You can have your home right registered against the property title while it remains in your wife's sole name.

Home[FONT="Fira Sans",sans-serif][/FONT]rights[FONT="Fira Sans",sans-serif][/FONT]permit occupation: they do not give any[FONT="Fira Sans",sans-serif][/FONT]right[FONT="Fira Sans",sans-serif][/FONT]of ownership of any kind in the family[FONT="Fira Sans",sans-serif][/FONT]home. They are personal

rights[FONT="Fira Sans",sans-serif][/FONT]not to be evicted or excluded, and to enter and occupy if not already in occupation of the home. However, upon your wife's death if this is before you the rights would cease although then you would have spousal rights that could be brought into play with regard to the estate. This is potentially a costly stressful matter to deal with particularly if you are grieving at the time so it would be better for all concerned if this could be dealt with before the event so to speak.

Unfortunately there is rarely a single answer that ensures there will be no issues. Wills can bring out the worst in people and this can be exacerbated when 2nd families come into play. There are several ways you could deal with the 'children' whether through leaving them a specific amount on each of your deaths, or just your wife's passing. I would say it is sensible to make it clear why you take the decision you eventually take in a letter to them that can be kept with your Wills once done (in addition to talking to them about the arrangements of course if you are both able to) At least that explains your decisions and is support to follow your wishes in the event any of them tried to make a claim against the estate. If they are all independent adult children with no financial ties to you both then they would have an uphill struggle to succeed in any event.

As far as leaving shares, assets etc to your wife, on your wife's passing then her Will would be followed so it would depend on how she leaves everything in her estate as to where the shares go.

It is complicated and I would suggest you would be sensible to seek some face to face legal advice on this from a private client lawyer. They will be able to advise you on the best options with regard to your current property situation as well as to how best to protect any assets you have from passing to those you would prefer they didn't go to.

All I would say is that with the aging population and the increased need for care in our later years, unfortunately unless you are very wealthy, we can no longer protect assets for our children or others. Most of us will be expected to at least contribute to that care if we have the assets to do so. If we are able to help out family while we are able that is probably the best option these days. Having been in local authority care homes I know I wouldn't wish to be in one if I could help it and my funding would have to come from my house.

It isn't all doom and gloom it is still a relatively small number of people who require care homes or even care in the home but I think we all have to accept that we may have to utilise the assets we have to fund the best we can afford.

You may find some further pointers on this thread https://legalbeagles.info/forums/for...s-means-please
I have explained at post #12 the sorts of 'trust' that could be included in a will. There are other threads that look at these issues but with the type of assets you have I would be cautious attempting to draft something yourselves. Here if need anything translating

[Quovadisuk]

Thank you very very much for your valued input . very much appreciated and respected. I think I may need further help as you suggest . Do you think this could be done using the free charity will writing scheme with a guaranteed donation written in or is this to much to ask ?

[Peridot]

Hi again,
By all means use a charity Will scheme. Generally there are solicitors firms that deal with the charity Wills and can advise you on all the usual ways of dealing with matters. You will find the charity schemes will only fund the 'basic' type of will such as a few specific gifts then everything to each other then to whoever you wish once both of you have passed away. Including trusts or anything beyond the basic will usually require a top up sum.
Hopefully that makes sense.