Writing a will: how to make sure you get it right
If you die without a will, you bequeath your relatives a big headache. Here's how to make sure that doesn't happen.
The pandemic has sparked a boom in will writing. There was a 267% rise in people making online and telephone wills with will writer Farewill last year. Yet 49% of Britons still don’t have a will, says Co-op Legal Services. A survey by the Co-op reveals widespread confusion about what happens to assets if a person dies without a will (known as dying “intestate”). This is especially important for cohabiting couples that are not married (or in a civil partnership). Under the rules of intestacy, an unmarried partner gets nothing when you die; increasingly common “blended families” also complicate planning.
Those who die without a will bequeath their relatives a headache, says James Coney in The Sunday Times. Unclear wishes can lead to “acrimony”. Consider other measures to ease the burden on grieving relatives: “Write down all your online accounts and passwords in a little book and hide it away.” Clear funeral instructions are also a great help.
To make a legally valid will in England and Wales, you must sign it in the presence of two witnesses, who then also sign. The witnesses and their married partners cannot be beneficiaries of the will. Review your will every five years or after major life changes such as a separation or moving house. To amend a will you can either add a codicil (also with two witnesses) or, for bigger changes, make a new one (you must physically destroy the old will).
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The main mistakes people make when writing a will
Common mistakes when writing a will include failing to make it legally valid, forgetting to account for everything in an estate and not factoring in the effect of marital changes or the potential death of a beneficiary, says citizensadvice.org.uk. While it is possible to make a will yourself, using a solicitor will give you peace of mind that it has been drafted properly. Establish which assets and possessions you have, and who the beneficiaries and executors will be before getting legal help. This will cut costs.
In England and Wales the witnessing can happen via videoconferencing, but this is a faff and “not without risks”, says Tom Wilson of Which. Have “the will witnessed the conventional way wherever possible”. Simple wills cost between £80 and a few hundred pounds. You can get a discount on a second “mirror will” for your partner if you both have the same wishes. More specialist wills, such as those that include trusts, cost at least £500 to £600.
Can you forego the solicitor? More than 150,000 people have used one of the numerous online will writing services over the past year, but beware, says James Daley in The Daily Telegraph. The market is unregulated, and most offer “no consumer protections if things go wrong”. “Overconfidence” leaves some unaware that situations such as being divorced, having children with more than one partner or cohabiting mean more complex drafting is typically required.
Before drafting the will, talk to your family so that you have an opportunity to make your wishes clear and plan together for the future, says moneyhelper.org.uk. Emphasise that the will is “for now” and can be amended in the future if circumstances change. Make clear that the will is not about “who deserves what”, but about achieving objectives such as providing for a partner or for the education of grandchildren. Your decisions may be partly based on whom you like or dislike – “but saying so won’t do you any favours”.
-
Revealed: how much you need to earn to afford a house in the UK
News The average UK salary is £20k too low to afford the country's typical house price - we look at just how much you need to earn to step onto the property ladder in the UK
By Henry Sandercock Published
-
Revealed: the countries with the most generous pensions
The UK state pension is often criticised for failing to deliver a comfortable retirement. So, how does our pension system compare to other countries - which countries are most generous, and at what age can you claim a state pension?
By Ruth Emery Published
-
What pension providers don't tell you about your retirement money
Check the small print from your pension provider or risk losing thousands.
By Merryn Somerset Webb Published
-
Britain’s stifling tax burden
Chancellor Jeremy Hunt's Autumn Statement will see the tax burden rise in each of the next 5 years.
By Emily Hohler Published
-
Brace for a year of tax rises
The government is strapped for cash, so prepare for tax rises. But it’s unlikely to be able to squeeze much more out of us.
By Matthew Lynn Published
-
Lock in high yields on savings, before they disappear
As interest rates peak, time to lock in high yields on your savings, while they are still available.
By Ruth Jackson-Kirby Published
-
How to cut the cost of home insurance
Home insurance policies are becoming increasingly expensive, but there are several ways you can keep costs down.
By Ruth Jackson-Kirby Published
-
Are lifestyle funds still fit for purpose?
Lifestyle funds have failed to do what they were supposed to do – shield savers from risk in the run-up to retirement.
By David Prosser Published
-
Act now to bag NatWest-owned Ulster Bank's 5.2% easy access savings account
Ulster Bank is offering savers the chance to earn 5.2% on their cash savings, but you need to act fast as easy access rates are falling. We have all the details
By Marc Shoffman Last updated
-
Moneybox raises market-leading cash ISA to 5%
Savings and investing app MoneyBox has boosted the rate on its cash ISA again, hiking it from 4.75% to 5% making it one of top rates. We have all the details.
By Ruth Emery Published