There are some common misconceptions that come about when someone you love dies without a Will (intestate). When someone dies without a Will it can be hard for the loved ones left behind to know what’s going to happen, and what to do.
Chafes Hague Lambert want to help bust some of the myths:
1/ All of my assets will go to my spouse/civil partner
It’s common thinking that if you die without having a valid Will, your husband/wife/civil partner will inherit all of your estate. That is not necessarily true.
If you are married or in a civil partnership and have children, your spouse/civil partner will inherit your personal possessions and the first £270,000 of your estate. The remainder will be shared as follows:
- The spouse/civil partner gets half the remainder: and
- The other half is divided equally between the surviving children (or their own children in their place if they have died before you).
If you are married or in a civil partnership and die leaving no children, your spouse/civil partner would only then inherit everything.
2. My partner and I have been together for years; we live together so the same rules apply as if we were married.
In England and Wales, a ‘common law’ partner is not legally recognised. If you are unmarried or not in a formal civil partnership your partner won’t inherit anything from your estate if you die without a valid Will.
If you have children, they will inherit the entirety of your estate. If you have no children, your estate would be divided between family members in order of hierarchy determined by the rules of intestacy. If you die with no living relatives your estate passes to the Crown.
As an unmarried partner, in order to inherit anything, you must be able to prove that you were living with your partner in a marriage-like relationship for at least two years immediately prior to their death, and that you relied on them financially or are now in need. If this is the case, you can bring a claim for ‘reasonable financial provision’ under the Inheritance (Provision for Family and dependants) Act 1975. Any award is likely to be far less than that which a spouse or civil partner would have received.
Therefore, if you want your partner to inherit any of your estate upon your death you need to make a Will.
3 My family will decide how to split my estate.
If you don’t have a Will there are prescribed rules as to how an estate is divided between family members, known as intestacy rules.
If someone feels that they ought to have received more from your estate, for example if they were being financially supported by you in some way, they may decide to apply to the Court for money from your estate. This can lead to stress and arguments between family in what is already a difficult time.
4. I don’t have to worry about making a Will – they’re only for older people, or people with lots of money.
If you have assets, whatever age you are, it is advisable to have a Will in place. It is sensible to have your affairs in order to protect your family and loved ones, should the worst happen.
There are also many other reasons to have a Will. For example, if you have children, you can use your Will to name guardians who will care for your children if you die before they reach 18. You can also include any funeral wishes you might have. You may also look to structure your Will in a way that helps with inheritance tax.
5 My family will save on the cost of Probate if I don’t have a Will
Whether or not you have a Will, a Grant of Representation is often necessary to deal with any property you own, close any bank accounts you have and sell or transfer investments.
This is usually the case if the total value of the assets you leave behind are over £5000. Additionally, a Grant of Representation is always required if you own a property which is to be sold or transferred upon your death, unless that property passes to a surviving spouse/civil partner.
If you die leaving a valid Will, the Grant of Representation will be called a Grant of Probate. If you die without leaving a valid Will the Grant of Representation is called a Grant of Letters of Administration.
Without a Will, the process of deciding who would make the application for probate can be a difficult and time consuming because, in some case, it can involve tracking down family members who are entitled to benefit from your state. The extra costs, time and stress involved can often be avoided by having a Will drawn up.
For more information on Wills contact me Hannah Mycock on 01663 743 344
