Why Make a Will?

Making a will is one of those tasks that always get put off until tomorrow or until someone close to us dies. May be that is why nearly two thirds of the people in the UK who should have a will don’t. Yet, nowadays, it can be done quickly, effectively and inexpensively.

The only certainty in life is death

Grim but true. None of us like to contemplate death, especially our own but it will happen. If we do not make a will we leave the responsibility to those close and dear to us who we leave behind. In addition to their grief and suffering we will be adding the stress and in the worse case family feuding that sorting out our affairs can bring. If we have a family or dependents it is our responsibility to make sure our affairs are in order.

It’s yours you should decide who gets it

If you die without making a will you are said to die intestate. If you do die intestate the state will decide what happens to your estate (all of your assets less any outstanding debts). Although there are a set of rules which are followed and they are designed to be “fair” it may not be what you wanted. In addition, there may be special items you wish to go to certain individuals, without a will this may not happen. See What if you die intestate?

The tax man cometh

The taxman is extremely loyal – he’ll be with you to the end! Even in death there are taxes to pay. If you die intestate the tax man can, through Inheritance Tax (IHT), take a whopping 40% of your estate, before your beneficiaries are entitled to anything. If you are single when you die and leave no surviving family it’s even worse, all of your estate goes to the Crown – it’s still the taxman. Making a will, in conjunction with an Independent Financial Adviser (IFA) allows you to minimise the Inheritance Tax your estate is liable for.

You don’t have to be rich

The current Inheritance Tax rates mean that you would be liable to pay IHT on your estate if it exceeds £285,000, which considering the price of property is not necessarily that hard to exceed. If you also take into account property inflation, there is a good chance your estate will be liable in the future. Click here to understand more about Inheritance Tax (IHT).

Sooner rather than later

Making a will is not just for the elderly, it’s something we all should do. The unexpected does happen and we should keep our affairs in order to protect our family and dependants.

So how do you make a will?

There are three ways to make a will:

Do-it-yourself – there is nothing to stop you writing your own will, however do make sure that it does constitute a legal and binding agreement and that all financial issues are covered. It is possible to but templates for such wills. If you are considering this option why not checkout: Writing your own will

Solicitor – your solicitor will also be able to draw up a will for you, currently the fee for this is approximately £200, you may qualify for Legal Aid due to your financial situation or if you are over 70.

 

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