The importance of having a Will
A Will is a legal instrument that facilitates the distribution of a person's property after their death. It specifies the individual responsible for managing the estate (the executor) and identifies those who will inherit the assets (the beneficiaries).
Contrary to what many clients believe, dying without a Will does not mean one's assets will default to their closest relatives. The reality is, without a Will, the legal system follows a process called intestacy, which can lead to significant financial and legal consequences.
The following demonstrates what may occur when a Will has been made compared to when there is no Will in place:
| Will | No Will |
|---|---|
| Individuals may define how their assets are to be distributed after death, guaranteeing that their wishes are fulfilled. | Intestacy laws prescribe the disbursement of assets after death, potentially leading to unintended outcomes. |
| Allows individuals to assign executors and trustees of their own choosing to administer their estate and testamentary trusts. | If no one is entitled to the deceased person’s estate, the State is then permitted to the whole estate. |
| Opportunity to stipulate how debts should be organised, providing greater versatility than the standard conditions defined in the Probate and Administration Act 1898 (NSW). | Chapter 4 of the Succession Act 2006 (NSW) states that spouses automatically receive the estates of their deceased partners; therefore, children may be prohibited from inheritance unless stipulated otherwise in a Will. |
| Difficulties may occur in administering an intestate estate, prompting delays and increased fees. | |
| Without transparent instructions usually outlined in a Will, determining the appropriate beneficiaries and administering assets may cause difficulties, resulting in possible disputes and legal proceedings. |
To safeguard your assets after you pass away, and guarantee their proper management and distribution, the Wills & Estates team at Greigs Legal is eager to guide you through the process of drafting your Will. Reach out to us by completing an enquiry form on our website or by calling (02) 4647 2968 to arrange a consultation with one of our solicitors.
