Is your existing will really up to date?
Posted on April 16, 2015
Recently, we reviewed some of our deceased estate files which involved a claim from a disgruntled beneficiary or some other kind of conflict. The sources of the disputes in these files are outside the scope of this article; however, the majority of conflicts could have been avoided if the will maker had died with an up to date will.
What was clear from this file review was that dying with an out of date will has the potential to cause as much emotional and financial distress as the lack of a will in the first place.
Below are ten examples from the file review where the failure of the will maker to update their will caused a dispute, usually between family members.
You should update your will if you:
- Get married. Marriage cancels your existing will.
- Get divorced. Divorce doesn't cancel your existing will; it only cancels certain provisions in respect of your former spouse.
- Become a parent and wish to ensure a specific person looks after your child should something happen to you and your partner.
- Are the parent of a young adult and want to ensure, for their own protection, that they do not receive an inheritance until certain conditions are met.
- Believe your son or daughter’s marriage will not last and wish to provide your son or daughter with some asset protection in respect of their inheritance in the event they separate from their partner.
- Believe your son or daughter will go bankrupt and wish to ensure they do not lose their inheritance.
- No longer have a personal or professional relationship with the executor of your will.
- Start a business or enter into business with another person.
- Wish to distribute your estate between your children “fairly” not “equally.”
- Wish to leave an inheritance to somebody who is incapable of looking after their own financial welfare.
Irrespective of whether you have a complex, sophisticated estate plan comprising trusts, companies, a self-managed superannuation fund, business succession agreements and a family constitution or whether you simply have a straightforward will; if your life changes then your will needs to be updated to reflect that change.
If you need to update your will or need any assistance with estate planning, deceased estate administration or contesting an estate please us.