UK WILL & ESTATE PLANNING FAQ
Important questions answered about will writing
Why Do I Need To Write My Will?
Writing your will allows you to decide exactly who will inherit your estate, (known as your beneficiaries) and how it will be divided up according to your stated wishes. Following your demise, your stated manager/s (your executor/s) will step in to supervise these actions.
What happens if I die without a Will?
You will be known as being intestate, and the UK Government will take charge of your financial affairs and decide what will happen to, and who will inherit your assets.
How Difficult Is It to Write A Will?
Will writers Guild make it very easy. One of our Guild Member Will Writers will arrange a phone call with you, and fully discuss all matters in detail with you.
What Is A Single Will?
A single Will is for one person, who is either not married, or if married has a spouse who does not have any assets under his, or her name. It should be noted that a single Will may not be suitable in circumstances where a married couple have a joint bank account/s or hold property under joint names.
In these circumstances, the couple should have Mirror Wills written instead. A single Will should include full details including the named beneficiaries, distribution of assets, and stated trustee/s, and trustee/s. Appointments of guardians for children under 18 years of age, and at least one named executor.
Terms and conditions will include funeral directions, location of all property items and locations. Payment of outstanding debts, funeral and testamentary expenses should also be included.
What Is A Mirror Will?
The term ’Mirror Will’ means two identical legal Will Documents that are written for married and unmarried couples in England & Wales who wish to have identical Wills written. ‘Mirror’ is used to describe the fact that they are both the same, except minor details, ‘mirroring’ both documents. Mirror Wills are typically used in England & Wales for married and unmarried couples having almost identical wishes regarding their Wills. Funeral wishes can be stated individually, if required.
At Will Writers Guild we recommend Mirror Wills because couples with children are able to state in their mirror Wills that each person leaves all assets to the other, and the surviving person leaves all assets to the children in equal shares. One drawback that should be considered is that after the Mirror Wills are signed, either person would be able to have a new Will written, without the other person knowing. Also, following the demise of the first person, the survivor could then decide to change their Will terms.
What Is A Lasting Power Of Attorney?
A Lasting Power of Attorney is a Document which appoints a person, or persons known as Attorneys, to manage your affairs for you should your mental capacity, or health become impaired. Your LPA is a totally separate document to your Will, however it can be written as a Mirror version to cover both yourself, and spouse.
There are two types of LPA: A health and care LPA appoints your attorney, most people choose their spouse, children, or other trusted family members who will act on your behalf.
The second LPA is a Financial Decisions LPA. When signed, this appoints your chosen attorney/s to manage, make decisions about, and supervise your day to day financial activities, including pension collection, paying bills and other financial transactions. Your LPA is a very important document. Having it in place is essential should you become unable to express your wishes, or make financial decisions etc. It takes effect as soon as it is signed. It is important to be aware of the fact that a person can only sign an LPA whilst their mental capacity is correctly functioning.
What Is A Trust Will?
A trust Will is a variation on a Single, or Mirror Will in that it provides much greater control for the testator, following his or her demise, to state more control on bequests, by placing certain terms and conditions, over the timing and method that the assets bequeathed to stated beneficiaries can be inherited.
These terms and conditions could include, by way of example: You prefer that there might be certain circumstances where a named beneficiary’s inheritance does not go directly to the beneficiary on your demise, but is held in a certain way that you have stated (a will trust). The trust within your Will determines how probate is addressed, due to its presence. The actual trust terms and conditions will determine the probate process, depending on the terms stated. Your trustees, the people who manage your estate on your behalf, are nominated within your Will and directed to administrate the matters on your behalf.
Examples Of Trust Wills Are:
- Property Trust Will
- Life Interest Trust Will
- Discretionary Trust Will
- Flexible Life Interest Trust Will
At Will Writers Guild we strongly recommend Trust Wills to be used, in the correct circumstances. Our full specification download facilities are available to you within our website to furnish you with our Full info document.
Can I Protect My Home From Care Home Fees?
Many elderly parents are unaware of the fact that Care Home Charges could greatly reduce the value of their estate, which they have planned to pass on to their children and family, following their demise. Substantial numbers of elderly parents own a property which has increased in value dramatically over the years, in addition to substantial cash savings. Couples often write mirror Wills, which are useful for simplicity purposes, in that when the first person dies, the surviving person inherits the total value of the estate.
When the surviving person dies, very often the high value estate passes to an only child. However, as the years go by, and all the assets are in the surviving spouses name, it is very possible that the surviving spouses heath can seriously deteriorate, and the spouse becomes unable to manage to look after the home, and residential care provision is the only alternative. The financial implications of this example are extremely serious:
- The Local Authority will access the estate value, and because the assets greatly exceed the £23,250 maximum the surviving spouse will have to pay their own care home charges.
- With residential care home charges commonly in excess of £30,000 per annum, should the surviving spouse live another, say, 7 years, the residual value of their child’s inheritance becomes very little indeed.
- The remedy is: The couple should have had a Property Trust Will written, but it is now too late,
- A skilled and expert Will Writer could have arranged for the property to have been placed within a Property Trust Will.