Where there’s a will there’s a way to avoid the misery of intestacy

I was staggered to find out that a recent YouGov poll identified that 59% of people between 18 and 50 do not have a will, despite 82% of them recognising the importance of having one. 

I’m guessing that for many people, either they believe it’s something they don’t need, can’t afford or isn’t a priority. I’d also guess these same people have little experience of dealing with the death of a loved one, particularly when they’ve died intestate, i.e. without a will.

There can be few more miserable things than having to deal with an intestate estate. It’s not so much the paperwork, the delays and having to deal with creditors of the deceased’s, it’s having to do so while grieving, and having that grief continually raked up during the process. 

It really doesn’t matter if the deceased had little or no money. The fact they had any money at all is enough to create issues, particularly if they also have debt. For this reason, for anyone over the age of 18, making a will is the responsible thing to do.

Where the deceased is married and has a joint bank/savings account, death of either spouse will immediately result in the bank freezing the account, and which will not be unfrozen until grant of probate. This can take much longer where a will isn’t in place. Yes, unless the estate is very large, it all ends up going to the surviving spouse but that’s not the issue, the interim delay can cause huge financial hardship, effectively locking the surviving spouse out from their own money.

Cohabitating couples owe a particular duty to each other to ensure that wills are in place to ensure assets go to the survivor, as opposed to immediate family. Likewise any couple with children need to use the will to provide instructions to Social Services regarding guardianship. 

Something often forgotten in wills are pets. All too often, old dogs and cats end up being put down because, while people are glad to take your money, they’re usually not quite so glad to take your toothless moggy etc. Hence, if you love your pet, use your will to incorporate provision in for your pet and its upkeep. 

If you are a single person, make a will for the sanity of those you leave behind. If you’ve suffered the death of a child or sibling, you’ll probably understand it’s a special kind of misery that has little compare. Also take it from me, it’s far better to discuss this with them before circumstances arise that make it urgent. 

A perceived barrier to so many people making a will seems to be time. It’s often thought to involve trips to solicitors and paperwork. That’s not the case.  You can instruct solicitors remotely and provide all the necessary information via Zoom or even phone. Most solicitors will take instructions during the evening so it’s really not a great imposition. 

A further perceived barrier is cost. Yes, complex wills can be expensive but its hardly the case with the simple wills that suffice for the majority of people. A few hundred pounds will typically cover what’s necessary and, if you don’t know a good solicitor, this is where your financial adviser comes in. 

Your financial adviser will also, at the same time, be telling you to sort out a ‘power of attorney’ which, is going to be even more important while you are alive. The purpose of the arrangement is if you lose the capacity to make decisions. A situation that all too often comes hand in hand with serious injury or illness. 

Indeed, your financial adviser should be the glue around which your will and financial provision for survivors is based. More often than not, people will have policies and entitlements payable on their death that we were not aware of. The role of the (good) financial adviser is to maximise the use of these and minimise expenditure on expensive life insurances, funeral plans and other things.    

So, to anyone without a will, I would recommend you arrange one tomorrow. If you have parents press them to do so. If you have children over the age of majority, take them and your parents with you to the solicitor and make it a family event. Sometimes what is needed is to get everyone involved so that they all get to appreciate their responsibility for the family as a whole. 

The main thing is that the family are protected as far as possible from unnecessary stress at a time when they will already be vulnerable. Those who consider themselves the head of families owe a particular duty to ensure that others are motivated, organised and understand why this is a team effort. 

By Derek Lavington

Senior Director and Compliance Officer at Leabold Financial Management.