1. What is a will?
2. What happens if I don't write a will?
3. When should I make a will?
WHAT IS A WILL ?
A Will is a legal document. A simple way of looking at it is, a will is a legal tool to ensure the people you want to inherit get what you want them to have
and, equally important – the people who you do not want to get it - don’t get it!! e.g. the Government (inheritance tax), the local council (care home fees), etc.
You can also use a Will to establish;
- who will manage your affairs after your death
- who will look after your minor children
- who with inherit your family heirlooms/ legacies
- gifts to Charities
- your funeral wishes
- trusts (see later)
WHAT HAPPENS IF I DON’T WRITE A WILL?
Making a Will is relatively straightforward and not very expensive. However, in spite of this, seven out of ten people in the UK die without a Will. Below are 10 consequences of not writing a Will and hence 10 good reasons to write a Will.
- Often there is confusion and disagreement among those left behind which create unnecessary turmoil and stress that can even result in costly legal bills.
- Your family could suffer acute financial hardships because of the delays in dealing with your estate. These delays can run into YEARS!
- Your spouse will not necessarily inherit everything you own. Your children could inherit part of your estate automatically, if you have no children, your other relatives could have a claim. In either case, your spouse will get less, he/she may have to sell their home. 190 PEOPLE LOSE THEIR HOMES EVERY DAY!
- If your children are over 18, they can spend their shares as they like, even if this leaves your spouse in financial hardship. No-one will have the right to question their actions.
- Even if you don’t live with your spouse and are separated, they could have a claim on your estate.
- If your spouse remarries, her/his new partner will get one half of everything she/he inherited from you. The new spouse need not spend anything on your children. Furthermore, on his/her death she/ he may exclude your children merely by writing a Will to that effect.
- If your spouse dies before you and your children are under 18 and your relatives cannot agree on guardianship, then a COURT will make the appointment. They could nominate a social worker or someone else.
- Stepchildren, Godchildren, Friends and Charities will receive nothing. If you are not married to your partner, she/he may also get nothing.
- Your assets, on your death, are probably greater than you realise. By not taking legitimate steps to lower Inheritance Tax, the Inland Revenue could get money that could have gone to your Family. This also now benefits those in a Civil Partnership agreement.
- I could lose more of my estate than is necessary to Long Term Care fees. That money could have instead gone to your family
Should you die without a Will or if your Will is deemed to be invalid (e.g. if it wasn't completed or signed correctly) then you are said to have died intestate.
This results in the law deciding who gets what of your estate. However, there are different sets of rules - click here for a diagram showing the rules for England and Wales (popup window).
WHEN SHOULD I WRITE A WILL?
If you live in Scotland you can make a Will from the age of 12, however, in England and Wales the age is 18. In Northern Ireland the age is also 18 unless the person married younger.
Making a Will is particularly important if you are anticipating marriage or a civil partnership, having a child, getting divorced or remarried. Also, buying a property or having assets or investments that you would like to decide in advance who gets what.
In England, Wales and Northern Ireland, your Will becomes invalid when you become married or enter into a civil partnership, unless the Will clearly stated that it was written in anticipation of you marrying or entering into a civil partnership with a named person.
If you become divorced then your former spouse or civil partner, if included in your Will, would be treated as having died before. Therefore, if your previous Will said that everything was to go to your spouse but if he/she died before you then everything was to go to your children. Now you are divorced, your former spouse will be ignored (treated as having predeceased you) and, in this example, everything will go to your children.