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Smart Money

Estate planning

A will essentially states the individual’s wishes as to how their estate is
distributed in the event of their death.

A solid will addresses the wishes of the deceased and makes sure it
prioritises the people that are most risk, or stand to be the most at risk,
in the event of their death – so usually children and spouses.

If you pass away without a will, the money usually still goes to the right
place, but it may take longer, and often allows far more possibility of
being contested. Family and money are two flash points for stress or
heated discussions. Having a will in place and setting it up so that the
money goes to the right parties at the right time is key. But once you’ve
got it, you have peace of mind, knowing that if something happens today,
your wishes are going to be carried out.

Wills are quite an adult topic. Children, teenagers, and people in their
early 20s, who don’t have beneficiaries and, at that stage, don’t have much
in the way of assets, don’t really need a will. We always stress that you
should consider a will, but generally it is more relevant in the husband/
wife or partner situation, even de facto, but definitely when there are
children involved, or parties that would stand to be worse off in the event
of that person’s death. Everyone should consider a will, but you definitely
need one when there are people involved who stand to be worse off if
you were to pass away.
Will kits were very popular about ten years ago, and they are still around.
They are inexpensive and relatively straightforward. The issue we have
with them is that, generally, you cannot make specific requests – you
can’t say I want this asset, or this investment to pass to this person. They
are quite simplified. Also, they can be contested.

There are a lot of lawyers that can easily poke holes in the wording of
a will kit will and the enforceability of certain wills. Phrases change
over time and some will kits from the past may no longer be correctly
worded, which may make them unenforceable now. We always suggest