When someone you love and care for passes away, it can be an incredibly difficult time emotionally. To make things harder, there is also a lot of paperwork and financial affairs to sort through and finalise, a process referred to as obtaining probate.
While it is possible to obtain probate yourself, hiring the help of a chartered accountant will help you manage the process. Here’s how an accountant can help you manage your probate and estate affairs.
Understanding probate and estate affairs
Probate is the legal process of administering a deceased person’s estate, ensuring that all debts are paid, and assets are distributed according to the will.
It also involves handling any inheritance tax deductions levied onto an estate. They’re technical tasks, so it’s always a good idea to have a professional by your side helping you.
The probate process
Valuing the estate
One of the first tasks in the probate process is valuing the deceased’s estate. An estate includes all assets such as property, investments, personal belongings, and business interests.
This process involves reviewing financial statements, property appraisals, and market conditions to provide a fair and precise valuation. Accuracy is essential here, as the value will be used to calculate any inheritance tax liabilities.
Managing inheritance tax
Inheritance tax (IHT) is one of the most complex aspects of estate management. Here, you must calculate the IHT due, considering any available reliefs and exemptions, and ensuring that the tax is paid on time.
As IHT can be so complex, especially for large estates, properly managing it requires a deep understanding of tax laws and meticulous record-keeping to ensure compliance with HMRC regulations. There are also opportunities to minimise IHT charges; having a professional by your side is therefore extremely advantageous.
Preparing and filing probate application
Once the estate’s value and liabilities have been determined, you can then prepare your probate application. This process is lengthy, requiring you to prepare and organise a plethora of documents.
Once the grant of probate has been received, you can then begin processing the deceased’s estate. This includes distributing payments to beneficiaries in accordance with the terms of the will.
Why you should work with a probate accountant
We would highly recommend hiring an accountant to help you out with the probate process for a number of reasons:
- Expertise in probate laws and regulations: Many people rely on solicitors during the probate process, relying on their expertise to get through the experience. You can rest assured that probate accountants have those same skills and can help you just as well as a solicitor.
- Financial knowledge: Accountants and solicitors differ in that accountants are more well-versed in probate financial affairs, such as asset valuations and inheritance tax. This proficiency allows them to navigate complex financial landscapes effectively, giving executors and beneficiaries confidence in the estate’s management and distribution.
- Peace of mind for executors and beneficiaries: Executors of an estate often face significant responsibilities and stress during the probate process. Working with a probate accountant provides peace of mind, knowing that a knowledgeable professional diligently and in accordance with the law manages the estate’s financial aspects.
Get in touch with us for help
Navigating probate and estate affairs requires expertise and diligence. Our team of experienced probate accountants is here to assist you every step of the way.
Contact us today to learn more about how we can support you during this challenging time.