Debunking 7 Common Will Misconceptions
When it comes to estate planning, Wills are often surrounded by a cloud of misconception and misinformation.
Many individuals harbour common myths about Wills that can lead to misunderstandings and potentially costly mistakes.
Whether you’re young or old, wealthy or of modest means, understanding the truth about Wills is crucial for safeguarding your assets and ensuring your final wishes are fulfilled.
In this blog post, we delve into the world of Wills to debunk seven common myths that frequently circulate.
By dispelling these misconceptions, we aim to empower you with accurate knowledge and insights into the importance and intricacies of Wills.
1: Age Doesn’t Matter for Wills
As morbid as it sounds, the only thing guaranteed in life is passing away, and we cannot choose when we would like to do so.
Most people, at some point in their lives, will have an estate of some value that needs to be in order to ensure it is distributed how they want.
2: Family Can’t Always Sort Wills
Mourning the passing of a loved one is a difficult time for family and friends.
By taking the time to prepare a valid Will, you can save your family and friends any additional uncertainty and stress, not to mention the potential extra costs of dealing with the courts.
3: Updating Your Will is Necessary
It is important to review your Will regularly and we recommend reviewing your Will every 2-3 years.
Our lives are constantly changing and our Wills need to reflect that.
Events that may trigger you to change your Will include, but are not limited to:
- Marriage
- Separation
- Divorce
- The birth of children and grandchildren
- The passing of a family member or someone else named in your Will
- Purchase of real estate
- Retirement, and
- Changes in religious beliefs.
4: Spouses Don’t Inherit Everything Automatically
Your estate does not necessarily go to your spouse automatically.
Under South Australian law, a person who passes away without a valid Will is said to have passed away ‘intestate’.
Under the intestacy laws in South Australia, your assets will be divided according to the laws when you pass away.
Your estate may go to your spouse, children, grandchildren, parents, siblings, nieces and nephews, grandparents, uncles and aunties, cousins, or people you owe money to.
The only way to ensure your estate is distributed the way you would like is to prepare a valid Will.
5: Your House & The Bank
In South Australia, your estate must be properly administered if you own real estate or assets valued at more than $10,000 when you pass away.
Funds from superannuation and life insurance do not automatically form part of your estate, however, the trustee of these funds may determine to pay the estate thereby enabling the executor to distribute the funds according to the Will.
6: Debts Won’t Automatically Disappear
Unfortunately, not all debts will pass away with you, and in all but the most exceptional circumstances, your estate must settle all debts before making distributions to beneficiaries.
If there are insufficient assets to pay all your debts, your deceased estate may be declared bankrupt in the same way as an individual.
7: Affordable Wills: The Cost Misconception
Preparing a Will is not as expensive as you may think – it is essentially a one-off payment that provides peace of mind and assurance that your wishes will be carried out.
Storing clients’ original Wills in a fireproof safe is frequently employed by estate planning solicitors.
Contact Us
For more information, contact Bambrick Legal today. We offer a free, no-obligation 15-min consultation for all enquiries, including matters about your estate and updating your Will.
- Fill in our enquiry form here
- Call us on 08 8362 5269
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Read more about our estate planning services here.
Related Blog – What if You Want to Leave Someone Out of Your Will?
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