HomeBlogBlogPlanning for the Future: Why It’s Important to Prepare Now

Planning for the Future: Why It’s Important to Prepare Now

Some people love to plan ahead, while others prefer to go with the flow. Either approach can work in many areas of life, but when it comes to key life events, careful planning can make a world of difference. I recently worked with a client whose mother had passed away, and while the emotional toll of losing her was immense, the family also faced the overwhelming task of organising her affairs. They had to figure out passwords, resolve any outstanding issues, identify her assets, and pay tax or duty on those assets. This added to the stress of an already difficult time.

This experience highlights the importance of planning in advance. If the children had been more involved earlier, they could have been better prepared for this moment, handling these responsibilities in their own time and with a well-thought-out plan. While discussing the transfer of wealth from parents to children can be an uncomfortable topic for some families, for those who can have that conversation, the benefits are substantial.

From the parents’ perspective, planning offers peace of mind. Knowing their affairs are in order ensures that their children won’t be burdened with unexpected tax bills or forced to sell treasured family assets to cover costs. For the children, being part of the planning process helps them prepare for the inevitable. When that day comes, they can focus on grieving and supporting each other rather than dealing with financial and legal issues.

Proactive planning also gives families the chance to find solutions that work best for them. For example, depending on the type of assets—such as businesses or property—parents can retain control and continue benefiting from these assets while transferring ownership to their children. In many cases, this can lead to significantly lower duty rates—sometimes as low as 1.5%—compared to the 5% that could be incurred if the assets were passed down through inheritance.

Every family is different, and the best approach will vary. But by starting the
conversation and planning now, families have more options and flexibility. Waiting too long can limit those choices and create unnecessary complications.

If you’re thinking about starting this conversation, we’re here to help. At Helix Partners, we’ll be with you every step of the way, offering guidance and helping you find the best solution for your family. Whether you’re just beginning to plan or looking to refine an existing strategy, we’re ready to make the process as smooth and straightforward as possible.

© 2024 Helix Partners. All rights reserved.

Helix Partners’ is a group of collaborative organisations including Helix Advisory Limited and Helix Finance Limited, providing different regulated and unregulated service lines. Whilst ‘Helix Partners’ brands as collaborative entities, services are provided by each independent entity, and where required by warranted and/or licensed companies and individuals. When any licensed accounting service is provided, this is carried out by Helix Finance Ltd a company registered company in Malta with reg. no. C97030 and is registered as an Accountancy & Audit Firm with the Accountancy Board with reg. no. AB/2/23/106. When any legal service is provided such is carried out by Dr Michael Muscat LL.D, a warranted legal professional in Malta.