Have you ever wondered what would happen to your home, savings, or cherished possessions if something unexpected happened?
Have you ever wondered what would happen to your home, savings, or cherished possessions if something unexpected happened? Recent data reveals that nearly 60% of people in the UK do not currently have a will. That's an alarmingly high number when you consider the potential consequences for your loved ones.
While it's not one of the most comfortable ideas to consider, creating a will as part of estate planning is one of the most important financial decisions you'll ever make.
Why does it matter?
The importance of having a will in your estate plan cannot be overstated. Without one, your estate falls under the rules of intestacy, meaning the law, not you, decides how to distribute your assets. These rules might not reflect your wishes, particularly if you're unmarried or in a civil partnership.
Beyond asset distribution
Will preparation isn't just about who gets what. It's about making difficult times less challenging for your loved ones. A properly drafted will can:
- Reduce inheritance tax (IHT) liabilities
- Specify guardianship for children under 18
- Include funeral wishes
- Protect business interests
- Support charitable causes you care about
A will can save your family thousands in legal fees and potentially months of stress during an already difficult time.
Getting started isn't complicated
Despite understanding the importance of wills in estate planning, many people put it off, assuming it's complex or expensive. The reality is quite different.
Start by listing your assets, considering beneficiaries, and thinking about executors – people you trust to carry out your wishes. While simple wills can be created using online services, it’s better to consult with a solicitor for more complex situations, particularly if you own property or have a blended family.
Keep it current
Creating a will as part of estate planning isn't a one-and-done task. Major life events like marriage, divorce, having children, or purchasing property typically require you to update your will. Try to review it every 3-5 years.
Common misconceptions
Many people believe that wills are only for the wealthy or elderly, but this simply isn't true. If you own a home, have savings, or have dependents, you should prioritise creating a will as part of estate planning.
Another misconception is that joint ownership solves everything. While jointly owned property typically passes to the surviving owner, this doesn't account for scenarios where both owners pass away simultaneously or address other assets in your estate.
Taking action
The peace of mind that comes from knowing your wishes will be respected is invaluable. By prioritising estate planning with a focus on will preparation, you're providing clarity and direction for your loved ones when they'll need it most.
Don't leave your legacy to chance. Book an appointment with one of our financial advisers to discuss your estate planning needs. Your future self (and your family) will thank you.
WILL WRITING AND INHERITANCE TAX PLANNING IS NOT REGULATED BY THE FINANCIAL CONDUCT AUTHORITY.
WILL WRITING IS NOT PART OF THE QUILTER FINANCIAL PLANNING OFFERING AND IS OFFERED IN OUR OWN RIGHT. QUILTER FINANCIAL PLANNING ACCEPT NO RESPONSIBILITY FOR THIS ASPECT OF OUR BUSINESS. THIS SERVICE IS BY REFERRAL ONLY.
