INHERITANCE & RETIREMENT

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HOW CAN WE HELP YOU?

We’re here to help you make sure you are sufficiently provided for in your retirement years, whilst taking into consideration how French inheritance laws will affect your heirs.

The French inheritance laws and taxation system have some guiding principles, however the details of how each individual situation is impacted can be relatively complicated.

We can advise you on how French laws and taxes will affect your current approach and if needed, assist you in defining a new approach to best meet your wishes.

WHO IS THIS RELEVANT FOR?

If you are (or are planning to be) resident in France, to retire in France or own property in France, then you should consider how French laws and taxes will affect you and your heirs.

In some cases, you can choose the laws governing your country of nationality to apply to how your estate is passed on. French taxes will always be levied if you are a French resident, or you have parts of your estate in France.

A BRIEF OVERVIEW

Under French law, children are protected heirs. Unless they explicitly choose to dis-inherit themselves, a proportion of the estate must pass to them. As long as this proportion is met, the remaining estate can be freely distributed according to the wishes of the deceased.

Inheritance tax depends on the inheritance amount and the relationship with the deceased.

  • Spouses and civil partners pay no inheritance tax
  • Children have a EUR 100,00 tax free amount. Taxation after this is on a sliding scale from 5% to 45%.
  • Siblings have a EUR 15,932 tax free amount. Taxation is then 35% to 45%.

The French government request payment of inheritance taxes within 6 months of determination of the estate.

If more than 50% of the inheritance is in the form of non-cash assets, this can be extended by the tax authorities up to 3 years.

When inheriting property, cash payment of the inheritance taxes can be difficult.

We can help.

WHY SHOULD YOU THINK ABOUT THIS NOW?

Generating an income for your retirement years and maintaining control of your estate are of primary importance.

You may also wish to limit unexpected stress and financial pressure for your heirs.

The earlier in life you consider these issues, the more options are available to you.

These can help maintain an income during your retirement years, whilst also reducing the inheritance taxes liable by your beneficiaries.

HOW CAN WE HELP YOU?

Taking into account your needs during retirement and any specific wishes regarding how your estate will be passed on, we can provide advice on how to best achieve these goals in the French system.

We can show you how different investment approaches will behave during your lifetime, inform you how they will be handled under French inheritance law and calculate the inheritance taxes that will be due. You can then make an informed decision.

We can work with your notaire and investment providers to ensure your wishes are accurately documented.

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HOW DO WE CARRY OUT THE REVIEW?

The first step is a phone call to discuss your situation in general terms. We can then quickly provide you with an outline idea of how we can help you.

If you want to proceed further, we then start the more detailed 360 review.

Initially we will fill out a questionnaire together that gives an overview of your situation.

We will then ask you to provide supporting documents so that we can check the fine print.

We then carry out two principle checks :

  • What impact the financial strategy we create for you will have on your global situation.
  • Are there any unforeseen issues that may cause you problems in the future.

We then present you with a detailed report, highlighting any areas of concern and suggestions on how to achieve your goals.

HOW MUCH DOES IT COST?

The initial discussion to review your general situation and what you want to achieve is free.

We provide you with an overview of how we can assist you.

If you decide you want to proceed further, the 360 Financial Review starts at EUR 960 HT. The cost may increase, dependant on the complexity of your situation.

Any costs for subsequent work will be pre-agreed with you and will be appropriate to the effort and complexity involved.