Solicitor Southampton

Should I try and think of every possible situation and try and cater for it in my Will?

No. Making a Will isn’t a once in a lifetime event, so you don’t have to squeeze everything into it! A Will should reflect your circumstances as they are now, not what they might be in the future. We recommend that you should review your Will every five years or so, to make sure it is still appropriate for your circumstances. As a rough guide, here are a few examples of additional situations where you may need to update your Will :-

• Change in family relationships: if you have married, entered into a civil partnership, started co-habiting, divorced, separated, had a civil partnership dissolved, been widowed or are a surviving civil partner.
• Family Growth: if you have become a parent, grandparent, see your family grow, or children have entered your life through a new relationship.
• Bereavement: if one of your main beneficiaries or someone named in your Will dies.
• Significant Change in your Assets: sometimes it is necessary to review your Will if your assets change or increase significantly.
• No Longer Accurately Reflects your Wishes: The main objective of a Will is to represent and communicate your wishes after you have died. If your Will no longer does this then you should up date it.

How do I choose executors?

Executors are people  you know and trust to deal with your  financial affairs after your death. This is often a family member or friend or solicitor or accountant. A combination of the two may be the best choice. Many people select their spouse and their solicitor to be joint executors.  Be sure to let your executors know that you have selected them, and let them  know where you keep your will.

What is a gift made “free of tax”?

A gift is free of tax when any Inheritance Tax (IHT), if it is payable, is to be paid out of your Residuary Estate and not to be taken out of the gift or otherwise paid by the recipient.

What does it mean if I give someone a “life interest” in my Estate?

If, say, you wish to ensure that your partner is adequately provided for but feel you have a duty towards, say, children of an earlier marriage, then you may wish to consider giving your partner a “life interest” in your Estate. This restricts the partner’s inheritance to the income only of your monetary assets and the use of your home. On the death of your partner the capital will pass to whoever you have specified in your Will. You should bear in mind that unless the Estate is fairly large, the income may be insufficient to support your partner. The duties of the Executors and Trustees will also be more onerous.

When considering a gift of a life interest, it is very important to remember that the recipient does not own the property in your Residuary Estate and cannot dispose of it in his or her Will. It is important to remember that the prime duty of the Trustees is to keep a fair balance between income for the person getting a life interest and capital growth for those who will be ultimately entitled to your Residuary Estate.

When is the right time to make a will ?

Understandably most people turn their attentions to wills later in life. However, sadly many people die early than expected and often this is when a will is at its most useful. There is no reason why you should not start this process early in life and most should certainly consider this when they are in a long term committed partnership and absolutely at the point of having children or buying a property. For most this is in the twenties and thirties bracket.

Executor of a will checklist

If you are acting as executor then it is likely that your involvement may go on for several months and possibly even years. The task involved but are not limited to :-

• Inform next of kin, close family and any potential heirs of the death and that you are the executor
• Consider appointing a solicitor
• Obtain copy of will
• If necessary, register the death and assist with funeral arrangements.
• Ensure assets are listed and if necessary made secure, for example, locating house keys and locking property
• Gather together vital paperwork, address book of deceased, death certificate and certified copies, cheque books, bank statements, paying in books, credit card details, building society books, mortgage details, life insurance policies, shares, bonds, pension information, household bills, tax records.
• If the deceased person is a business owner you will need all paperwork relating to the business including VAT records and accounts.
• Obtain details of professional advisors such as accountants, solicitors etc.
• Check if probate is needed. When someone dies, a person must deal with their estate by collecting in money owed, paying debts and dividing the estate. In probate, a legal document is issued to a person to allow them to do this. As executor you may carry out this role. This document is issued by the probate registry and it is known as a Grant of Representation. If you receive this document make sure you have several certified copies.
• Complete a tax return if needed.
• With advice, consider inheritance tax issues.
• Pay off any outstanding debts.
• If you need to locate potential heirs or creditors then advertise in local/national papers.
• Distribute the assets in accordance with the will.

What practical steps should an executor take ?

Executors should set up an account solely for the purpose of dealing with the estate so that any money paid to the estate is easy to see. If you have no experience of the preparation of accounts then you have a duty to delegate this task to someone with the requisite experience.

• Advise a funeral director of the death.  If the deceased has a pre-arranged funeral plan then make sure you contact them first.   Visit the funeral director with a death certificate to make funeral arrangements.  Please remember that once you instruct the funeral director you become liable for the bill – not the next of kin or the estate.
• The Benefits Agency needs to be advised at the local office in person or in writing. Complete and give them the form supplied by the Register. They may need sight of any birth and marriage certificates. Return any pension book. Complete survivorship forms if there is a widow or widowers pension
• The Local Authority will need informing to amend council tax details.  Also apply for a single person reduction if available.
• Possibly contact Social Services including Meals on Wheels
• Inform the Family Doctor and any Local Hospitals the deceased may have attended.
• Contact y utility companies
• Inform the local Council Housing department if deceased rented their home to cease tenancy or change name of account
• Redirect post if deceased home is unoccupied
• Advise the buildings insurers of the situation
• Employer – Advise employer of death and enquire about outstanding pay, death in service, share save schemes and pension
• Pension Scheme Trustees – Advise scheme trustees and enquire about widow or widowers pension and cessation of payments
• Contact life assurance policy companies and request claim forms.  Second death life assurance may need additional direct debit set up to continue with payments.
• Credit Cards – charge, store and fuel cards will need to be informed and any outstanding amounts settled
• Season Tickets  & Licenses – Refund of any unused TV Licence, Travel Tickets, Season Tickets
• Identify people, companies or customers who owe money to the deceased