Why is My Jewellery not Worth What it’s Worth?

How much your jewellery is worth depends on who’s asking. For insurance purposes, the value is the replacement cost. But that price is not used for the purposes of probate.

Searching the market place for an identical item or paying to have it re-made will cost considerably more than the price the buyer would pay. So the probate forms ask for the estimated price you would have received if the item was sold on the open market on the day of the owner’s death. The phrase ‘open market’ is key in the inheritance tax manual.

This applies to all personal belongings, be it paintings or furniture or jewellery or any collectible. Individual terms worth more than £500 must be listed separately. Otherwise, a total value can be entered on the forms.

For a married couple, all the household goods will probably be jointly owned so the total value can be halved.

Antique furniture and other expensive items should be valued professionally. Fees will obviously be charged for this service but any costs can be claimed back from the estate.

For professional help with the probate process, contact Heritage Will Writing on 02380 879243.