Call us on (091) 670 123 | [email protected]

How unmarried couples can avoid hefty inheritance tax bills from life insurance payouts

Most people don’t realise that unmarried couples face massive inheritance tax bills in the event of their partner dying.

Despite years of commitment, mortgages, children and even a family dog, unmarried couples aren’t treated the same as married couples when it comes to life insurance payouts in Ireland.

In fact, the most a surviving, unmarried partner can inherit is €15,075 before the inheritance tax rate of 33% kicks in, compared to no tax at all on inheritances left to a surviving married partner.

Before you race out to book your wedding venue, you can structure your life insurance so your payout is tax free.

Rather than paying your own premium, or debiting your premiums from a joint bank account, taking out a policy in the “life of another” and paying for your partner’s premium is a valid option for unmarried couples looking to avoid paying the inheritance tax.

Of course, you’ll need to seek professional legal and tax advice to make sure this strategy suits your personal circumstances.

If it is a fit for your needs, not only will you save significant sums in tax, you’ll save yourself the pain of having to prepare a wedding speech!

For more advice on life insurance why not give Hennelly Finance a call? We have plenty of experience structuring life insurance for unmarried couples. Call a Hennelly Finance advisor today on 091 670 123.

Our trusted partners

Where we are

Insurance Brokers & Financial Consultants,
Unit 3B, Tí Phuirséil,
Barna, Co. Galway.
H91 AF1W

Opening Hours

Monday - Thursday: 9am -5pm
Friday: 9am - 4pm
Appointments available outside normal working hours upon request.

Compilance

Hennelly Financial Services Ltd. t/a Hennelly Finance & Health Insurance Shop is regulated by the Central Bank of Ireland. Directors H. Hennelly, R. Hennelly. Registered in Ireland, Company Reg No: 32727.
Copyright © Hennelly Finance | All rights reserved