Do I Really Need a Will? Why Estate Planning Matters
Creating a will is one of the most important steps you can take to protect your family and secure your assets. A valid will gives you control over significant decisions that will impact your loved ones and your legacy when you pass away. Here’s why having a legally sound will is essential.
1. Appoint Guardians for Your Minor Children
If both parents of minor children pass away without a will naming guardians, disputes can arise. Imagine both sets of grandparents seeking guardianship — without a clear directive, this could lead to lengthy legal battles, causing additional trauma for your children during an already challenging time. Worse, someone you don’t trust could be appointed as their guardian. A will allows you to choose who will care for your children.
2. Distribute Your Estate According to Your Wishes
Dying without a will means you die “intestate,” and your estate will be distributed under Queensland’s Succession Act. For example, if a husband passes away leaving a wife and two children, the wife may only receive the first $150,000 of the estate, with the remainder divided among her and the children. This could result in costly and stressful legal disputes known as family provision claims, which can cost each party $50,000 to $150,000. A clear will helps avoid these issues and ensures your assets go where you intend.
3. Choose Who Manages Your Estate
In your will, you can appoint a trusted executor to manage your estate. Without a will, someone must apply to the court to become an “administrator,” and their selection may not align with your wishes. By naming a reliable executor in your will, you simplify estate management and reduce the burden on your loved ones.
4. Protect Your Assets and Minimise Taxes
A lump-sum inheritance can be vulnerable to poor financial decisions, creditors, or divorce settlements. Setting up a testamentary trust through your will can protect your beneficiaries’ inheritance, minimise taxes, and reduce the impact on social security benefits. An estate planning solicitor can help you explore these options.
5. Coordinate with Superannuation, Insurance, and Business Structures
Superannuation and life insurance may not automatically form part of your estate. It’s crucial to coordinate these assets with your estate plan to maximise tax benefits and protect against potential claims. Consulting an estate planning solicitor ensures your will accurately reflects your entire financial situation.
Keep Your Will Updated
A will should evolve as your life circumstances change. Regularly reviewing your will with an experienced estate planning solicitor on the Gold Coast ensures it accurately reflects your current wishes and goals.
Ready to Protect Your Family’s Future?
If you’re ready to discuss your estate planning or need assistance preparing a will, contact our award-winning wills and estates team on the Gold Coast. Call 07 5576 9999 or start your estate planning online today.
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