Creating a will is one of the most important steps the community of Sussex can take to ensure your wishes are carried out and your loved ones are taken care of after your passing. Whether your will is straightforward or involves more complex arrangements, it boils down to two fundamental questions: Who will manage your estate, and who will inherit your assets? Below are some key considerations to keep in mind as you prepare to create your will.
1. Choosing an Executor
One of the most important decisions you’ll make is choosing the person who will manage your estate when you pass away—this person is known as the executor. Your executor should be someone who is responsible, organized, and trustworthy. They’ll be responsible for:
- Arranging your funeral.
- Taking stock of all your assets.
- Paying off any debts or liabilities.
- Distributing the remaining assets according to the instructions in your will.
It’s also a good idea to name alternate executors in case your first choice is unable or unwilling to take on the role. You can appoint either one executor or multiple people to work together in this role. If you have underage children, you’ll also need to decide who will be their guardians in the event of your passing.
2. Deciding Who Will Inherit Your Assets
The next key question is determining who will inherit your assets. You have the flexibility to divide your estate in equal shares, specify percentages, leave sums to charity, or even assign specific items of property to named beneficiaries.
While you may already have a good idea of who you want to inherit your assets, it’s important to name alternate beneficiaries in case one of your primary beneficiaries passes before you. For instance, if you have three children and want to divide your estate equally, your will should specify what happens if one of your children predeceases you. You can choose to have their share go to their children, their surviving siblings, or even another relative or friend.
3. Considering How You Hold Property
In addition to naming executors, guardians, and beneficiaries, you should also consider how you currently hold your property. This includes both real property (land and buildings) and personal property (money, valuables, etc.). One example is whether anyone is listed as joint on your bank accounts. Your will should be consistent with how ownership and beneficiaries are structured on those accounts.
For real property, it’s important to think about ownership as well. If you intend for your house to pass to your spouse, it’s common to hold the property as joint tenants, meaning the house automatically passes to the surviving spouse without needing to go through probate.
4. Financial and Tax Considerations
It’s essential to keep in mind that some assets, like RRSPs or RRIFs, may have tax implications for your beneficiaries. In some cases, leaving these assets to a spouse can defer taxes, while leaving them to others may trigger immediate tax liabilities. Consulting with a financial advisor as part of the will-making process can help you plan for these scenarios and avoid unwanted surprises for your beneficiaries.
5. Seeking Professional Legal Advice
A Sussex lawyer who specializes in wills and estates law and property law can help you navigate these considerations and ensure that your will accurately reflects your wishes. They’ll assist you in structuring your assets, choosing the right executor and guardians, and addressing any legal complexities that may arise. For those with more complex estates—such as business owners or individuals with significant investments—more advanced planning may be needed, including the possible creation of trusts.
Having a solid will in place gives you peace of mind, knowing that your estate and your loved ones are protected.
The information provided here is for general informational purposes only and does not constitute legal advice. Every individual’s situation is unique, and the laws governing wills, estates, and property may change over time or differ based on specific circumstances. We recommend consulting with a qualified lawyer to discuss your particular situation before making any legal decisions