Should I alter will to help my wife keep pension?
Because of our assets, my wife and I receive a small age pension, but if I died my wife’s age pension would stop. If, in my will, I left the assets solely in my name to my children, would Centrelink view them as deprived assets on the basis that I should have left them to my wife?
There is nothing stopping you leaving your assets to your children in this situation, as Centrelink would not view this as deprivation.
When speaking with my clients about this, we always consider what assets would remain for the surviving spouse and how that would impact their situation financially.
For example, would they be able to generate enough income from all sources to meet living costs? Another significant consideration would be potential aged-care accommodation costs. I would recommend that you consider your overall financial situation very carefully before making any changes to your wills.
About 20 years ago, I asked a well-known financial adviser the cost of an interview – as I wanted to set a son on the right course – and was told the initial consultation was $400.
That blew my socks off, and I am certain many people either hold off seeking advice or abandon the plan when receiving a like answer. And because of the mystery and fear about the likely fees, many do not make an approach.
There are plenty of media people who advise readers to obtain “financial advice’’ but never is there an indication of what the cost may be.
I desired to receive “advice’’ many years before biting the bullet; the delay
was because of fear of the likely cost. As it is, I contacted an adviser recommended to me and paid nothing for the initial consultation, before entering into an agreement to accept his help.
Without inquiring of a number of financial planning firms as to their fee structure, there is no way to know exactly what fee you might be up for when it comes to professional financial advice.
And each firm has its own fee structure to suit its individual needs. In my experience, most advisers offer a free initial consultation – it’s our way of establishing whether we can assist the client, and to then offer an overview of the potential cost for any advice. Remember that all professional financial advice must be in the form of a statement of advice. This is a written document that confirms your current situation, your goals and aspirations and then the strategy/advice to meet these. It may include product advice but can be strategy only. A Statement of Advice is a significant document, is timely to produce, but (in my experience) profoundly worthwhile obtaining.