01Who does what
| Professional | Typical part of the work | Regulated by |
|---|---|---|
| Financial adviser | Investments, pensions and life insurance used in the plan, such as a policy written in trust | The FCA, for the investment, pension and insurance advice |
| Solicitor | Wills, trusts and lasting powers of attorney | Its own regulator, such as the Solicitors Regulation Authority in England and Wales |
| Accountant or tax adviser | Tax calculations, business and farm assets, returns | Varies: tax advice on its own is not an FCA-regulated activity, so ask which professional body, if any, they belong to |
One professional often coordinates and refers to the others. Ask who that will be, and whether referral fees are paid between them.
02How each usually charges
- Financial advisers charge as for any advice: a percentage of the money advised on, a fixed fee or an hourly rate. The FCA's 2025 data puts typical percentage charges at 1% to 3% initially and 0.5% to 1% a year ongoing.
- Solicitors usually quote a fixed fee or an hourly rate for wills and trusts. Ask for the fee in pounds and whether VAT is included.
- Products used in the plan, such as investments or life insurance, carry their own charges, and life insurance is often paid for by commission from the insurer.
VAT can apply to a standalone plan or report with no product arranged; see VAT on financial advice.
03What is at stake
Inheritance tax is charged at 40% on the part of an estate above the £325,000 threshold. The threshold can rise to £500,000 when a home is left to children or grandchildren, and anything left to a spouse or civil partner is exempt (GOV.UK). Each £10,000 above the threshold is £4,000 of tax.
HMRC estimates that, of around 213,000 estates with inheritable pension wealth in 2027 to 2028, about 10,500 will have an inheritance tax bill where they otherwise would not, and about 38,500 will pay more. Our guide inheritance tax, explained covers how the tax works.
04Is it worth paying for?
Compare the total fees, in pounds, with the tax actually at stake on your estate and the work involved. Planning involves trade-offs: money given away is no longer yours to rely on, and trusts bring their own costs and rules. Tax rules also change, as the 2027 pension change shows, so ask whether the plan will be reviewed and what that costs.
05Questions to ask
- What will each part cost in pounds, including VAT?
- Who else will be involved, and what will they charge?
- Is there an ongoing fee, and what does it cover?
- What charges do any products in the plan carry each year?
06Common questions
Can a financial adviser write my will?
Do I need advice if my estate is below the threshold?
Sources and further reading
About this guide: figures are labelled with their source and date and describe the market, not any firm; illustrations are arithmetic, not forecasts or quotes. This is general education, not regulated advice or a personal recommendation, and FinancialAdvisor.co.uk is not authorised or regulated by the Financial Conduct Authority. Spotted an error? Report it and we will correct it.