Guardian Case Study One single mum

Guardian naming is one of the most important things to do for your child.

Emily is a single mum aged 24. She owns her own flat that her parents bought for her. It is valued at £135,000. Her daughter is aged 3. Emily has no brothers or sisters. Sue’s father has had no contact with Emily for over 3 years.

Emily is worried that if she where to die her daughter Sue would have no one to look after her. Emily’s parents are over 55 and live 50 miles away. They both are unwell and have made a will leaving their estate to Emily & Sue.

Emily does not feel it is right for her parents to have to take on a young child as they get older. She also is worried that her daughter would have to change schools, friends etc. If Emily dies she wants Sue to inherit her flat with someone to look after it or the money from its sale on Sue’s behalf. Her major concern is who would be made guardians for Sue should she die before Sue is 18. Also she doesn’t want Sue’s biological father suddenly coming back into Sue’s life especially if her parents die as there would be a more significant amount of money available.

Emily’s best friend Lyn and her husband Steve are Sue’s god parents. They have a daughter Beth who is two weeks older than Sue. They live on the same estate and speak to each other nearly every day.

Emily would like Lyn & her husband Steve to look after Sue if she was to die.

Solution

  1. Emily makes a will naming Lyn and her husband guardians.
  2. She takes family income benefit insurance for £1000 per month over 18 years till Sue is 21.
  3. Placed in trust with Lyn and her husband as trustees.

The cost of this solution is, Will £95. Family income benefit in trust £8.32 per month

Outcomes

If Emily dies before Sue is 21. Lyn & her husband are named guardians on the Will. There is also financial reparation in trust with Lyn & her husband as trustees. Emily has made her wishes on guardians absolutely clear. Made sure there are funds available to the guardians for Sue’s benefit.

This would protect against any court decision. It protects Sue, Protects Lyn & her husband. It also protects potential inheritance from Emily’s parents. Taking all the steps above makes contesting guardians extremely difficult.

All for less two cups of coffee a week!

Guardian Case Study Two married couple

John and Chloe aged 25 non smokers have two daughters Erica aged 4 and Jane aged 2.

John earns £30000 a year. Chloe stays at home looking after the children. John & Chloe are concerned that if either of them died the family could potentially lose their home even though they have the mortgage protected as their income would be reduced despite the mortgage being cleared and have to move. If John died the family income would be gone and if Chloe died John would have to give up work to look after the children or pay for a nanny to look after them (£20000 per annum).

If John & Chloe both die they would want the children to be looked after by John’s sister and her husband as they feel as they live close by that this would reduce the children’s upheaval especially once they start school. They also feel that their parents are getting to old to take on young children.

The Solution:

  1. John & Chloe make mirror wills naming John’s sister and her husband as Guardians for Erica and Jane.
  2. John & Chloe take out a joint life first death family income benefit for 19 years (until Jane is 21) with a sum assured of £30000 per year. This pays an income of £30000 per year for every year left on the plan.
  3. Put the family income benefit plan into trust with John, Chloe, John’s sister and her husband as trustees.

The cost for this solution is £125 for Mirror Wills & £22 per month for family income benefit in trust.

Outcomes

If John where to die today Chloe would receive from the trust fund £30000 per annum until Jane was 21 years old. The same applies if Chloe was to die. If they both die then John’s sister and husband would receive £30000 per annum until Jane is 21 to use for the benefit of the children. This would protect against a court decision, protects John & Chloe, protects the children & also protects John’s sister and husband against the cost of bringing up the children.

All for less than the average SKY subscription!!

Guardian Case Study Three Step Dad

Abigail is 39 and a senior nurse and has a daughter Ann aged 8. Her partner Dave is 37 and a carpenter has lived with Abigail and Ann for the last 3 years in Abigail’s House which she owns outright. Ann’s father Scot lives over 150 miles away and has not seen Ann since she was 3.

Abigail is concerned if Abigail and Dave where to die as she believes Ann would receive the house worth £200000 and ex partner Scot would have control over this money. If both where to die. Abigail would want her friends next door to be guardians. She has known them for 15 years and have a daughter a similar age to Ann. She also wants to know that should anything happen to her that Dave would be a guardian. He has helped bring Ann up so far. Their current living costs come to £26000 per year.

The Solution:

  1. Abigail makes a will naming Dave and her next door neighbours as Guardians for Ann. Dave makes a will that states should Abigail die before him and he becomes Guardian to Ann. He names the next door neighbours as Ann’s Guardians.
  2. Abigail & Dave take out a joint life first death family income benefit for 13 years (until Ann is 21) with a sum assured of £26000 per year. This pays an income of £26000 per year for every year left on the plan.
  3. Put the family income benefit plan into trust with Abigail, Dave & the next door neighbours as trustees.

The cost for this solution is £90 for each Will & £28 per month for family income benefit in trust. To protect Ann’s interest in the house, £350 to put Dave on property deeds and set up property protection trust.

Total upfront costs for Wills and protective property trust £530 and ongoing for family income benefit and protection trust £28.

Outcomes

As step parents have no parental rights over step children. It is important to make sure Abigail’s wishes are carried out. By putting Dave on the property for a 50% share. Then on death of either of them 50% goes to Ann the remainder stays with the surviving partner. If either Abigail or Dave die then Guardianship with £26000 a year until Ann was 21 would go to the survivor via the trust. If both where to die guardianship would go to the next door neighbours with the house being held for Ann & £26000 a year paid from the trust for Ann’s upbringing until aged 21.

All for less than the annual SKY sports subscription!

Guardian Case Study One single mum

Guardian naming is one of the most important things to do for your child.

Emily is a single mum aged 24. She owns her own flat that her parents bought for her. It is valued at £135000. Her daughter is aged 3. Emily has no brothers or sisters. Sue’s father has had no contact with Emily for over 3 years.

Emily is worried that if she where to die her daughter Sue would have no one to look after her. Emily’s parents are over 55 and live 50 miles away. They both are unwell and have made a will leaving their estate to Emily & Sue.

Emily does not feel it is right for her parents to have to take on a young child as they get older. She also is worried that her daughter would have to change schools, friends etc. If Emily dies she wants Sue to inherit her flat with someone to look after it or the money from its sale on Sue’s behalf. Her major concern is who would be made guardians for Sue should she die before Sue is 18. Also she doesn’t want Sue’s biological father suddenly coming back into Sue’s life especially if her parents die as there would be a more significant amount of money available.

Emily’s best friend Lyn and her husband Steve are Sue’s god parents. They have a daughter Beth who is two weeks older than Sue. They live on the same estate and speak to each other nearly every day.

Emily would like Lyn & her husband Steve to look after Sue if she was to die.

Solution

  1. Emily makes a will naming Lyn and her husband guardians.
  2. She takes family income benefit insurance for £1000 per month over 18 years till Sue is 21.
  3. Placed in trust with Lyn and her husband as trustees.

The cost of this solution is, Will £95. Family income benefit in trust £8.32 per month

Outcomes

If Emily dies before Sue is 21. Lyn & her husband are named guardians on the Will. There is also financial reparation in trust with Lyn & her husband as trustees. Emily has made her wishes on guardians absolutely clear. Made sure there are funds available to the guardians for Sue’s benefit.

This would protect against any court decision. It protects Sue, Protects Lyn & her husband. It also protects potential inheritance from Emily’s parents. Taking all the steps above makes contesting guardians extremely difficult.

All for less  two cups of coffee a week!

Contact Us

Guardian Case Study Two married couple

John and Chloe aged 25 non smokers have two daughters Erica aged 4 and Jane aged 2.

John earns £30000 a year. Chloe stays at home looking after the children. John & Chloe are concerned that if either of them died the family could potentially lose their home even though they have the mortgage protected as their income would be reduced despite the mortgage being cleared and have to move. If John died the family income would be gone and if Chloe died John would have to give up work to look after the children or pay for a nanny to look after them (£20000 per annum).

If John & Chloe both die they would want the children to be looked after by John’s sister and her husband as they feel as they live close by that this would reduce the children’s upheaval especially once they start school. They also feel that their parents are getting to old to take on young children.

The Solution:

  1. John & Chloe make mirror wills naming John’s sister and her husband as Guardians for Erica and Jane.
  2. John & Chloe take out a joint life first death family income benefit for 19 years (until Jane is 21) with a sum assured of £30000 per year. This pays an income of £30000 per year for every year left on the plan.
  3. Put the family income benefit plan into trust with John, Chloe, John’s sister and her husband as trustees.

The cost for this solution is £125 for Mirror Wills & £22 per month for family income benefit in trust.

Outcomes

If John where to die today Chloe would receive from the trust fund £30000 per annum until Jane was 21 years old. The same applies if Chloe was to die. If they both die then John’s sister and husband would receive £30000 per annum until Jane is 21 to use for the benefit of the children. This would protect against a court decision, protects John & Chloe, protects the children & also protects John’s sister and husband against the cost of bringing up the children.

All for less than the average SKY subscription!!

Contact Us

Guardian Case Study Three Step Dad

Abigail is 39 and a senior nurse and has a daughter Ann aged 8. Her partner Dave is 37 and a carpenter has lived with Abigail and Ann for the last 3 years in Abigail’s House which she owns outright. Ann’s father Scot lives over 150 miles away and has not seen Ann since she was 3.

Abigail is concerned if Abigail and Dave where to die as she believes Ann would receive the house worth £200000 and ex partner Scot would have control over this money. If both where to die. Abigail would want her friends next door to be guardians. She has known them for 15 years and have a daughter a similar age to Ann. She also wants to know that should anything happen to her that Dave would be a guardian. He has helped bring Ann up so far. Their current living costs come to £26000 per year.

The Solution:

  1. Abigail makes a will naming Dave and her next door neighbours as Guardians for Ann. Dave makes a will that states should Abigail die before him and he becomes Guardian to Ann. He names the next door neighbours as Ann’s Guardians.
  2. Abigail & Dave take out a joint life first death family income benefit for 13 years (until Ann is 21) with a sum assured of £26000 per year. This pays an income of £26000 per year for every year left on the plan.
  3. Put the family income benefit plan into trust with Abigail, Dave & the next door neighbours as trustees.

The cost for this solution is £90 for each Will & £28 per month for family income benefit in trust. To protect Ann’s interest in the house, £350 to put Dave on property deeds and set up property protection trust.

Total upfront costs for Wills and protective property trust £530 and ongoing for family income benefit and protection trust £28.

Outcomes

As step parents have no parental rights over step children. It is important to make sure Abigail’s wishes are carried out. By putting Dave on the property for a 50% share. Then on death of either of them 50% goes to Ann the remainder stays with the surviving partner. If either Abigail or Dave die then Guardianship with £26000 a year until Ann was 21 would go to the survivor via the trust. If both where to die guardianship would go to the next door neighbours with the house being held for Ann & £26000 a year paid from the trust for Ann’s upbringing until aged 21.

All for less than the annual SKY sports subscription!

Contact Us