A common mistake is to think that because you may not have considerable savings or property, you do not need to make a will – everyone needs a will if they own any assets.
Why spend years attempting to create wealth and then take so little care to provide for loved ones, friends or charity?
Even if your estate is worth only £5,000 you will need to decide who you will leave it to, although clearly your need may not be as great as someone with £500,000 to leave.
Remember also that your will is not simply about deciding who gets what; it’s also about appointing responsible people to administer your estate. You choose who takes those important financial decisions you are no longer around to take.
A common time to start considering making a will is when you buy your first property.
Unless you have a 100 per cent mortgage you will have some equity in the property and therefore something to leave.
There are also the contents of the property – and you may wish for them to go to a particular relation or friend on your death.
If you are buying a property jointly, you will also need to make some form of provision if you die – particularly if you wish to leave anything to your partner rather than your family.
The law sets out clear rules for what happens to your estate – property, personal possessions and cash – if you die without a will.
Don’t forget if you marry you will have to start again, as marriage automatically revokes a will.
As the surviving spouse does not necessarily inherit everything you will need a will to ensure your wishes are put into effect.
Once you are married and have a will, it doesn’t end there. If you are having children, then you will need to provide for them – and not just financially.
Here are some key questions:
• Guardians: Who is going to bring your children up if you have both passed away?
• How is their education to be funded?
• Do you really want your children to get their hands on your money at 18 or would you rather safeguard it a little longer?
A properly drafted will can provide answers to all of these questions.
with Charlie Kearns
Independent Financial Adviser
[email protected]
