FBNQuest Trustees, a subsidiary of FBN Holdings, has advised the public to consider their changing circumstances and how this should guide prudent estate planning in 2023.
While the new year presents a range of new financial challenges, it also presents changes to the personal circumstances of the investor that should inform the creation of review of an Estate Plan.
Speaking on TVC News breakfast program “Your View” in Lagos, Rotimi Obende, Head, Private Trust at FBNQuest Trustees, said that changes to the personal circumstances of an investor and the addition of assets to the Investor’s portfolio has implications for the Estate.
He said such changes could include marriage, parenting or the purchase of physical assets, adding that proper estate planning or the review of an existing plan could add efficiency to the investment process and ease the transfer of the benefits of an investment to a third party.
“A new year offers many opportunities to make advancements in your career and financial status. If you get married, creating a plan for your children’s education or just adding real estate or other assets to your investment portfolio, you should do so with your Estate Plan in mind. This will ensure that you are being efficient thereby reducing future costs to you or the ultimate beneficiary of your investments.” said Rotimi Obende.
While discussing “Estate Planning tips to consider for the new year” Rotimi Obende highlighted the range of solutions that investors can consider as they organise their financial goals for 2023. They include the creation of an education trust as an effective way for parents to plan for the education of their children.
The FBNQuest Trustees Children Education Trust provides a long-term investment that builds over the years with the added benefit of an estate planning instrument that does not pass through probate unlike other competing education solutions available. This means that it avoids the mandatory 10 percent estate tax, which is payable on non-trust solutions. In addition, considering the potential economic impact of an economic slowdown, the service is flexible and personalized, offering relief that enables the settlor to pause or reduce contributions, and to transfer the benefits of the trust to another beneficiary. Some Children Education Trusts also come with the additional benefit of a Trust Protector who ensures that the Trust runs seamlessly in the event that the settlor becomes incapacitated or unable to perform his/her role.