Writing a Will? Here’s What You Need to Consider
Writing a Will isn’t as easy as you think. It’s a legally binding document that can impact the future of your loved ones or beneficiaries. You have a lot to think about, and while going through all the considerations, you may leave out key details.
Want to avoid that risk? It’s best to talk to an experienced Succession lawyer who can help ensure your Will is valid and includes correct provisions to keep your family and other beneficiaries secure after you pass away. You may also wish to try our 24/7 online tool which will inform and guide you through the important preliminary aspects of your Estate Planning matter.
But for starters, here are some of the most crucial things you must consider when writing a Will.
1. Beneficiaries
A person of any age, including minors, can be a beneficiary of a Will.
Beneficiaries are individuals, organisations or charities you wish to benefit from your estate after your passing. They may receive specific gifts and/or a share of your estate. Each beneficiary’s share is generally expressed in the Will as a percentage.
Once you’ve decided who your beneficiaries are, you must provide their names and contact details in the Will. Do you wish to give to a charity when you pass? Include the name of the organisation and its Australian Business Number or ABN to ensure gifts or a portion of your estate is distributed to the correct organisation.
You should also think about alternate beneficiaries if the beneficiaries you have in mind are unable to take their benefit (in case of death or other reasons).
2. Guardianship of your infant/minor children
When you drafting a Will, you can secure your wishes about your children’s future when you and your spouse are no longer around. Even if you’re still young, you can nominate an individual to care for your children or be their guardian until they are adults.
When choosing a guardian, consider the following factors:
● The guardian doesn’t have to be a relative. It should be someone who can take on the role physically, emotionally and financially.
● Whether a nominee has a lifestyle, values and religious beliefs similar or at least close to yours.
● Whether the potential guardian already has, or is planning to have, children.
● The kind of transition in terms of location and lifestyle your children must make. Will they have to move out of the state or switch religions to be with their guardian?
When drafting a Will, you can specify your wishes for the guardianship of your children. You may include details on where they should reside or what type of education they should get. You can also write down your thoughts on particular child-rearing issues, like whether your child should have access to pocket money, or follow a curfew.
3. Asset ownership
Do you own significant assets? Before writing your wishes about them, it’s helpful to list them in categories and note their approximate value and any existing loans. That way, you won’t leave out an asset that can be a source of conflict once you pass. Specify where the titles are, too. Are they stored in your home or at the bank? Lost or missing titles can be costly and tedious to replace.
Have you correctly identified whether you own an asset independently or whether you share its ownership with someone else, like a business partner. If it’s jointly owned real estate, the surviving owner will automatically acquire the property when you die. If the asset is owned as ‘tenants in common,’ you must include your wishes for the portion you owned in your Will.
You also need to identify assets which are owned in other structures like trusts, companies and self managed superannuation funds as your Will must contain clauses dealing with those structures
4. Family heirlooms and other cherished items
Don’t forget your cherished items when listing assets to include in your Will. These items may not have significant monetary value, but they may have a high emotional or sentimental value. These items could be jewellery, art pieces, family heirlooms or other things you cherish. You can specify who should receive these cherished items as gifts after you pass to minimise any potential conflict. You can choose to pass them on to your children or other relatives or local charities.
5. Executor
An executor of a Will is responsible for carrying out your final wishes. They have to manage your estate and oversee the asset distribution. Selecting an executor is a decision you must not take lightly.
When appointing an executor, the general rule is to pick a person who is a named beneficiary of your estate. Overseeing asset distribution can be a burdensome task for an individual who does not have an interest in the estate.
You should consider appointing alternate executors in case the first person can’t or won’t take on the role.
You can appoint a professional executor or a trustee company as executor if you don’t have any loved ones you wish to appoint. The Public Trustee can also be appointed but we would consider this a last resort. These independent executors can help your family gain peace of mind at the time of your passing. You should be aware, however, that that hiring independent executors comes at a cost. Their fees will be paid out of your estate, so you should consider that in your Will.
If you still have trouble deciding, turn to your Succession lawyer. They’ll help you explore your options and make the right choice for the future of your beneficiaries.
6. Funeral arrangements
It may be a sensitive topic, but funeral arrangements should be included in your Will. This ensures that your loved ones and the appointed executor are aware of your wishes when you pass. Include instructions on whether you want to be cremated or buried. Also, consider writing whether you intend to be an organ donor. That way, your loved ones will feel comfortable approving the donation of your organs.
7. Complex circumstances
Life isn’t black-and-white, so there may be complex circumstances in your family, financial or business life. Fortunately, you can customise your Will to accommodate your wishes for those circumstances. But it’s best to consult your Succession lawyer to ensure you make good decisions in those situations.
Following are some of the complex circumstances that warrant consideration when writing a Will:
● Ensuring the financial future of a beneficiary with special needs
● Divorce, previous marriage or other family complexities
● Passing the benefits from a self-managed superannuation fund
● Excluding an individual who would normally expect to benefit from your estate
● Being a company director
Think about these circumstances thoroughly and be sure to write clear details if you wish to exclude an individual from your Will or leave a particular beneficiary with a lesser share than they may expect to receive. Share the reasons with your Succession lawyer, as such information may be kept on file and referred if a claim is made against your estate after you pass away.
Get in touch with Bradley & Bray.
Whether you’re ready to write a Will or need more guidance crafting it, Bradley & Bray is here to help. Based on the Sunshine Coast, our succession team has years of experience handling succession matters. We can help you plan for the future through our compassionate, proactive & strategic approach to estate planning.
Get in touch with us today to set a consultation meeting or try out our 24/7 online estate planning tool.
This article is general in nature and does not constitute legal advice. If you require legal advice in relation to your personal circumstances, you must formally engage our firm, or another firm to provide legal advice in relation to your matter. Bradley & Bray lawyers takes no responsibility for any use of the information provided in this article.
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