Wills are a vitally important document for everyone to have in place.
They give you the peace of mind that you have fully considered all the key issues and made the right provision for the important people in your life.
Wills are a way of benefitting your family, friends, and possibly charities, but also of protecting the wealth and assets that you have carefully built up over your lifetime and to ensure that you take advantage of all available inheritance tax exemptions, reliefs and allowances.
Equally important as having a will in the first place is to review it on a regular basis to ensure it still does as you intend.
We usually advise clients to review wills every five years (if not before) and also when significant changes and events occur in their lives. This article provides some common themes and issues that arise for people as they move through life.
Teens to 20s
Often at this stage of a person’s life, a will is the last thing on their minds. People may think they have nothing to leave or that they will live forever.
This may not be (or almost certainly is not) the case and it is always advisable to have a will in place, even at this early stage in life. A will at this point may be on simple terms that leaves all assets to a sibling or to parents for example.
Obviously if partners and children are already on the scene, it is important to consider their needs, although most typically this is thought about slightly later in life.
20s to 30s
At this stage, various things may be happening. You may begin to accumulate wealth, buy a property or create a business, and possibly start a family.
If you buy a property with someone else, which could be a partner or a friend, then it is important firstly to record the financial contributions you have made to the purchase price and mortgage repayments and what you are entitled to on a sale of the property, which can be done by way of a declaration of trust.
You should also consider who this interest would pass to on your death, and record that in your will. If you cohabit with a partner, a cohabitation agreement can ensure that your contributions to the property are protected if that relationship subsequently breaks down.
Similar principles apply when starting a business and your rights and entitlement to the value of the business should be clearly recorded by way of the governing documents for the business, such as articles and shareholders agreement for a company, or a partnership agreement for a partnership.
