New research from Canada Life reveals that over half of UK adults (57%) do not have a will, equating to approximately 30.4m people. Of this, 12% said they have no intention of making a will in the future. A third (33%) of Brits who are aged 55 or over have not yet made a will.
The findings are released during free wills month in October, during which many charities and organisations offer a free will writing service to the public.
For those who do not have a will, the top reasons for not making one include:
· Not having enough wealth or assets to warrant making a will (25%)
· The belief that they have plenty of time to make a will (22%)
· Not knowing what to do with assets or estate (16%)
· The belief that loved ones will inherit automatically (15%)
· Not understanding the process of making a will (14%)
Stacey Love, Technical Manager – Tax, Trusts and Estate Planning, Canada Life says:
“If you are someone who worries about the cost of making a will, now is the time to speak to one of the numerous organisations which offer a free will writing service. This takes place twice a year in March and October, so if you miss out this time, you’ll have another opportunity in a few months.
However, it’s important not to delay writing a will if possible. At any age, dying without a valid will in place can be a huge burden on your loved ones at a time when they may already be vulnerable and struggling to cope.
It’s human nature that we don’t want to think about death but writing a will can be a huge weight off yours and your loved one’s shoulders. Don’t be afraid of having an open conversation about it with those you want to leave an inheritance to. A professional financial or legal adviser can be invaluable for offering independent advice and guidance.”
Although men (41%) and women (40%) are equally likely to have a will in place, among those that don’t have a will, women are twice as likely to say a reason for not having a will is they don’t have enough assets to make a will (women 32% vs 17% of men).
A fifth of 55+ year olds (21%) who haven’t arranged a will yet, say it is because they don’t know what to do with their assets, more than any other age.
Additional estate planning pointers to remember:
– The assumption that everything will automatically pass to your loved ones is inaccurate, although the intestacy process (when you die without a valid will) varies across Scotland from England and Wales.
– Even if you are young, getting a will drafted, signed, and witnessed should be on your bucket list, even if you don’t think you have any real wealth to pass on. Digital assets such as social media accounts and crypto have value – data is the new gold after all.
– Once you’ve completed your will, don’t just sit back and forget about it. Talk to your family, let them know where it is being kept.
– Many couples forget that under the current succession laws in England and Wales a cohabitee has no automatic rights under the intestacy rules so a valid will is essential to make sure assets pass to the surviving partner as you would want them to.
– If you’re a single parent with small children, a will is also an invaluable tool for ensuring that those children are taken care of by the people you trust to look after them. Without these provisions in a will, it’s possible the Courts may decide who should have parental responsibility.
- It’s commonly assumed that wills are automatically ‘nullified’ on divorce. This isn’t the case, however. Make sure to review your will every couple of years as routine, but also if you go through a big life change such as a divorce. If you don’t, this can obviously cause problems much later down the line.
