The reality is that wills are not just for the wealthy. There are many reasons why clients of all ages and life circumstances should put a will in place and also many ways advisers can play a crucial role in steering that conversation as Jonathan Foster explains as he shares his legal insight in this article for IFA Magazine.
In the words of Taylor Swift in her song Anti Hero: “She thinks I left them in the will. The family gathers ’round and reads it and then someone screams out ‘She’s laughing up at us from hell’.” While it is easy to understand why someone of Taylor Swift’s wealth would require a will, and the potential difficulties arising from the administration of such a large estate, advisers may find clients asking: “Why would I need a will?”
There are many reasons why it would be sensible for clients to put a will in place, which apply across a variety of ages and life circumstances.
The most obvious reason is to determine how their assets are divided and passed to the next generation. According to the National Wills Report 2024, 43% of those who haven’t made a will feel their estate is too simple to warrant one, but asset value should not deter clients from taking action.
Ensuring assets are passed to the right beneficiaries
The purpose of a will is to direct property, both tangible and intangible, to chosen beneficiaries, irrespective of value. Advisers should encourage clients to seek guidance from a solicitor regarding inheritance tax implications and structuring their will efficiently to use all available reliefs. The will should consider not only asset values but also the position of beneficiaries. For example, if assets are being left to minors or vulnerable individuals, a trust may be appropriate.
Considering trusts for minors and vulnerable individuals
If a client dies without a will, or if their will does not account for beneficiary circumstances, the absence of a trust could inadvertently prejudice them; it may not be suitable for beneficiaries to receive their share outright. Solicitors can advise on whether trusts are appropriate for clients in these situations.
The importance of planning for the family home
For most clients, the home is their most valuable asset. Advisers should ensure clients consider how to pass their home to chosen beneficiaries and whether these beneficiaries can afford running and maintenance costs after the client’s death — a particularly important consideration in the current cost-of-living crisis. Property ownership structures should also be reviewed: does jointly owned property pass automatically via survivorship, or does it follow the client’s will?
How marriage and cohabitation affect wills
Marriage should prompt clients to put a will in place. For clients who are engaged or planning to marry, wills should be prepared in anticipation of the marriage. The historic rule that a will is revoked by marriage is currently under review by the Law Commission, but marriage still revokes a will at present.
Cohabiting clients who do not intend to marry should also be advised. Intestacy rules dictate how an estate is divided when there is no will, and these often differ significantly from how clients may wish to distribute their estate. The idea of common-law marriage is a myth.
Appointing guardians and executors with care
Wills also allow clients to specify guardians for minor children. An effective appointment of guardians can save time, money, and stress in the event both parents die. Executors should also be carefully chosen to administer the estate effectively.
The risks of intestacy and potential disputes
If clients fail to make a will or forget to update an existing will before death, dependent beneficiaries may be compelled to make claims under the Inheritance (Provision for Family and Dependants) Act 1975. Litigation can delay estate administration and be costly.
Safe storage and accessibility of wills
Solicitors may provide facilities to store wills after signing. Advisers should make clients aware of the principle of animo revocandi: if a will cannot be found at death but was known to exist, there is a rebuttable presumption the client intended to revoke it. According to the National Wills Report 2024, two in five wills are stored at home. Clients should store wills in a safe, fire-secure location and inform executors how to access the document to avoid confusion or delays.
By Jonathan Foster, Solicitor in the Tax and Trusts team at Wilsons Solicitors.
