< Aviva Property Plan

Taking control of inheritance tax

Diane and David

What if there was a way to provide more opportunities to plan for reducing the potential inheritance tax payable on your possessions?

An Aviva Property Plan is a lifetime mortgage and refers to Aviva's Lifestyle Lump Sum Max and Lifestyle Flexible Option products. Below we've put together a typical scenario to show how an Aviva Property Plan could help you.

Diane and David are quite well-off – their property is valued at £1.5m, and their other assets add up to £50k. While they’re both in good health, they’ve put their wills in place, and want to be sure they’re giving their children the best inheritance possible.

They’d like to give £100,000 to each of their children – so could take out an Aviva Property Plan to release £200,000 from their family home.

Not only does the plan let them gift the money released to their children early, should they wish to, it could reduce the value of their taxable estate if they survive for 7 years after making the gift.

By choosing this route, they don’t have to touch their pension savings, but could still give their children an early inheritance. The pension money remains invested, and this will be passed down in the normal way when the time comes.

Diane and David would be able to feel comfortable that they’re supporting their children enough both while they’re alive and after they’ve gone.

Could you plan better for inheritance tax too?

If you’re looking to see the benefits of inheritance while you’re alive, yet don’t want to dip into the money you’d already planned to leave, an Aviva Property Plan could be the answer you’ve been looking for.

This is a fictitious example for illustrative purposes only. An Aviva Property Plan is a lifetime mortgage which can’t be taken out without financial advice so we’ll put you through to a carefully selected, specialist adviser who isn’t employed by us but can only advise on our lifetime mortgages. If you require general financial planning and investment advice please speak to your own financial adviser. If don't have an adviser, but want to speak to one, you can find one near you at  www.unbiased.co.uk. Taking out a lifetime mortgage will reduce the amount of inheritance you are able to leave. Your tax position and eligibility for welfare benefits may also be affected. Tax rules and rates are subject to change and the viability of any tax planning will depend upon your personal circumstances.

Call us on 0800 141 3452 to check if you’re eligible for a lifetime mortgage and to be put through to a specialist financial adviser who is qualified in providing advice on lifetime mortgages.