Millennials Guide to Making a Will
If you’re a Millennial, research indicates that it’s likely you don’t have a Will and if you do, it’s probably not up to date! Big, in fact, massive mistake! Let’s look at the basics!
A Will: What Is It?
A will is a legal document that specifies how your assets should be dispersed after your death.
The selection of an Executor is a crucial component of your will. In addition to other duties, your Executor is in charge of seeing that the provisions of your Will are carried out.
What is contained in my will?
You can specify how your possessions will be distributed after you die away by writing a will. These possessions may include real estate, cash, and things. In addition, your will might specify who will get your business or investments and when if you have either.
Wills and Superannuation
Many people don’t realize that their Super fund doesn’t immediately become part of their estate when they are drafting their will. Only your own possessions are listed in your will. The trustee of your super fund is responsible for holding your super benefit in trust.
Different laws therefore apply. It is technically possible for some people to make a claim on your super benefit that you do not want to make under the superannuation laws. So that you are more assured of who will receive your super, it is crucial to name beneficiaries for your super death benefit.
Other assets that aren’t mentioned in your will include joint-tenancy property, assets held in trust, assets controlled by a firm, and life insurance benefits that are given directly to heirs. Let’s say the testator left behind beneficiaries who would inherit such assets.
The insurance will then return to the estate and be dispersed in accordance with the terms of the will or by the probate court in that situation.
You might own substantial commercial assets and run your own company as a lone proprietor or a shareholder in a corporation. In addition to items like stock and equipment, your company’s reputation or intellectual property, such as a business name or logo, may be of great worth.
Your parents or other family members may leave you money or property, and this could happen quickly or unexpectedly.
The beneficiaries of any life insurance policies you may have may be entitled to a sizable sum of money if you pass away young. If the policy is unrelated to your superannuation, it will be paid to your estate and disbursed in line with your Will unless you have designated a beneficiary.
Will’s Executor: Selection
The process of creating a will includes selecting an executor. Usually, the executor is a close friend, member of the family, or spouse. They are in charge of handling the administration of your estate and need to act in your best interests.
Alternatively, you might choose joint executors or hire an executor agency. Using executor services may make more sense if your estate is complicated. They possess the know-how and experience necessary to manage an estate.
Are you aware of the consequences of dying without a will?
The administration of the estate is immediately made more challenging because technically, no one has the authority to run the estate unless designated by the Court. A will, on the other hand, gives the executor the legal right to carry out their duties. As a result, while it may not have been necessary if a will had been drafted, it may cost money to acquire a Grant of Letters of Administration from the Court.
Second, the distribution might not be as obvious as you might believe. Some clients claim there is no need for a will because all of their assets are held in joint ownership with their spouse. That might be the case if one of you passes away, but what if you both pass away at the same time? The shared assets would fall under the younger’s estate to their family members rather than being divided between both of your families as may have been planned because the law assumes that the younger survived the elder for one day.
Another problem is that not all assets pass to the spouse when there are children. The children will receive a portion of the estate, which will be kept in trust for them until they turn 18. The surviving spouse could experience some unanticipated difficulties as a result. On the death of the second spouse, only the children are often left with anything after the first spouse receives everything. Additionally, the age of 18 is typically raised in a will to guarantee that a child is more mature when they receive an inheritance.
A final issue occurs when land is held in multiple Australian states since the intestacy laws might vary slightly between them and cause the beneficiaries of one piece of land to differ from those of another.
Given the difficulties that may occur after death if the intestacy rules are applied, creating a basic will can be done for a comparatively little cost.
Time to Get a Will
If you’re a Millenial and you haven’t a Will or an up-to-date one, the above reasons should encourage you to address this sooner rather than later. At Harry Quinn, We can connect you with the best Wil & Estate lawyers in major cities in Australia including, Parramatta, Perth, Newcastle , Canberra, Geelong, Adelaide. & Many more cities.