Wills
Frequently asked questions
Here are a few of the questions we are often asked about Wills.
What is an estate?
Everything you own at the date of your death - all property, personal and household possessions, vehicles, savings, shares etc.
What is an executor?
An executor is the person (or one of the people) you choose to carry out your wishes set out in your Will.
Who can be an executor?
Anyone over the age of 18 years. It is usual for a spouse, close relative or family friend to be chosen to act as your executor, either alone or jointly with another person. When deciding who to appoint you should take into account grief, age, ability to organise, confidence, experience and willingness.
If you expect there may be any difficulty with managing your assets or would prefer professional assistance, then we recommend that you appoint a solicitor to be an executor.
It is a commonly held belief that an executor cannot benefit under the terms of a Will - this is not the case. An executor can receive whatever benefit you choose to leave.
What does an executor do?
After your death your executors have a number of responsibilities and duties, including:
- arranging your funeral
- identifying your assets and outstanding liabilities
- completing your final tax return
- depending on the type of assets and the size of your estate, it may be necessary for your executors to obtain a 'Grant of Probate' and to pay Inheritance Tax within certain time limits
- arranging the sale of your property and its contents
- distributing your estate to your beneficiaries according to your wishes set out in your Will
- if any beneficiary in your Will is underage it may be necessary for your executors to be involved in setting up trusts
Some of these tasks may be complicated and your executors may need to seek the help of a solicitor to be certain that the administration of your estate is dealt with efficiently and in line with the law.
Does marriage affect a Will?
Yes. If you marry - or remarry - any existing Will is automatically cancelled, unless it was stated in the Will that you intended to marry and wished your Will to remain valid after your marriage.
Does divorce affect a Will?
If you are considering or are in the process of divorce or separation you should immediately seek advice about making a Will, or updating your existing Will.
A Decree Absolute in divorce proceedings does not cancel a Will. However, if you had already made a Will leaving a gift to your former spouse, or appointing your former spouse to be an executor, then the gift or appointment would not take effect. The Will would remain in force and operate as if the former spouse had died (unless you have made a direct statement in your Will that you wish it to be otherwise).
However, until the divorce is final all the terms of the Will remain valid and unaltered. This means that a divorcing spouse could still benefit.
How often can I change my Will?
As often as you need to.
What is a Codicil?
You can add something to a will which has already been signed and witnessed, by making a Codicil (which must also be signed and properly witnessed). A Codicil should only be used for minor changes. For any major changes a new Will should be made to avoid confusion and possible problems after your death.
What is Inheritance Tax?
When someone dies his or her estate has a tax-free allowance of £300,000 (as from 6 April 2007) and any estate under this amount passes free of all tax.
When all debts and liabilities have been taken into account, an estate worth more than £300,000 will have to pay Inheritance Tax. The first £300,000 is free of tax and the rest pays Inheritance Tax, currently 40%.
There is no tax payable at all on estates passing between a husband and wife, however large the amount. At first glance this would seem to be advantageous, but on the death of the surviving spouse the estate (which is now the sum of the estates of both husband and wife) receives its tax-free allowance and is taxed on any balance. This means that the joint estates of two people have only received one tax-free allowance - £300,000 instead of £600,000. Inheritance Tax planning in your Will can help you avoid this.
Can I make my own Will?
Yes - but take care. Unless a Will is properly signed and witnessed it will not be valid. And if it is not correctly worded your assets may not pass as you intended. It could even cause dispute or claims against your estate. A badly written Will can cause more problems than not having one at all.
A professionally drawn Will gives you peace of mind and the knowledge that your wishes will be carried out.
Make a Will - you know it makes sense.