When AFH client Laura Stewart received the devastating news that she had less than 12 months to live, although positive about her prognosis, she wanted to do everything she could to ensure her family’s finances would be secure after she passed away.
Fortunately, regular annual reviews with her financial adviser, Nathan Trowbridge, meant that she was able to change her plans swiftly to take account of her considerable change in circumstances.
“Over the last 12 years, with Nathan’s help we have gradually moved from planning for the immediate future to planning for the longer-term,” said Laura.
“Each review has helped us look forwards and make decisions with confidence, knowing in detail what we have now, what we know we will have in the future, and what we might have.”
Life-changing news
Sadly, Laura was confronted with life-changing news when she was recently diagnosed with terminal cancer.
“My recent significant change in circumstances has brought lots of challenges, but knowing exactly where we were financially and what is available to us isn’t one of them,” explained Laura.
“The annual review process with Nathan has been a key part of that and has enabled us to quickly make a new plan to take account of my new situation.”
Expert advice
Laura originally planned to leave her property to her adult daughters, but also wanted her recently married husband to stay in the property as long as he wanted to after her death. However, she did not want her daughters and her husband to feel compelled to stay in contact if they didn’t want to after she had passed away.
Laura felt that the property could potentially cause an issue, and it may be best if her daughters had the option of benefiting from the funds now and not later when the property was sold.
As Laura’s private pension was roughly the same value as the property, Nathan discussed with her the option to change her will and her pension nominations, so her husband would benefit from the house, and her daughters would benefit from the pension funds.
This will mean the family has the choice to keep in contact if they want to, and the daughters will receive the death benefits options from Laura’s pension, which will give them options to take the funds now or transfer them into a pension in their name for the future.
Focusing on the important things
Nathan explained: “Although these solutions solved the problem and made perfect planning sense, my main priority was to ensure that this eased Laura’s worries, and allowed her to concentrate on more important issues, such as planning things she wanted to do in the time she has left, for instance concerts and travelling while health allows her.”
Nathan is adamant that his clients are given the opportunity to regularly review their finances and their life plans, with clarity and honesty, as life can change in an instant.
“Annual reviews are vital to take into account changing circumstances, and most importantly they need to be focused on the people, not the money,” he said.
“We have a very privileged job to help people, and when we move the focus to the client and not their money, the rewards are much greater.”
We wish Laura and her family all the best in these difficult times.
*The client’s name has been changed for privacy reasons
25 July 2024