top of page

What is Intergenerational Planning?

By Mark Insley, Managing Director - Consulo Wealth Solutions

Many of you will be thinking of your children’s futures alongside your own and looking for tax-efficient ways of creating a legacy.

However, as we live longer, there is often more than one generation in any one family. This means it’s worth considering how grandchildren and great grandchildren can also benefit from your estate.

This is what we mean by intergenerational planning The standard inheritance tax rate is 40% of anything in your estate (property, possessions and money) over the £325,000 threshold. For example, if you leave behind an estate worth £500,000, the tax bill will be £70,000.

In 2018 the UK government made a record amount in inheritance tax receipts as it broke the £5billion mark for the first time.* With the right planning, you can significantly reduce your inheritance tax liability.

You can make use of tax allowances, use trusts and different types of investments, and you can also gift your money to reduce your wealth. Trusts aren’t as complicated or costly as you may imagine, and you can still retain an element of control over your money. There are a number of trusts to choose from, from bare trusts to discounted gift trusts to loan trusts and gift trusts. The kind of trust you choose depends on what you want it to do. However, intergenerational planning isn’t just about inheritance tax planning With increased longevity and social change, many people are now considering ways of using their wealth to support their family during their lifetimes. Whether it’s helping with school fees, paying for a wedding or helping grandchildren get on the property ladder, intergenerational planning is about ensuring the right amount of money goes to the right people at the right time.

Your property is another thing to consider, such as transferring it into your children’s name and paying a rent, or selling your house and gifting your children the proceeds.

The best thing to do is to start this kind of planning early We can help you understand your options, prioritise, and to see how you might spread your wealth throughout your family in the best way possible.

We can also help you to broach the topic with your loved ones. It’s often important for families to be able to discuss their own opinions and it helps them to feel more responsible in their role as an inheritor of the family wealth.


Not all the services and investments described are regulated by the Financial Conduct Authority (FCA).

Tax, trust and company administration services are not authorised and regulated by the Financial Conduct Authority.

Ancojada Limited trading as Prosperitas Consult is not authorised or regulated to provide financial advice.

All financial advice is provided by other regulated businesses.

1 view0 comments


Rated 0 out of 5 stars.
No ratings yet

Add a rating
bottom of page