It’s essential to make a will to ensure that your estate is distributed according to your wishes when you pass away. If you don’t have a will in place, your estate will be distributed according to the intestacy rules, which may not align with your preferences. Here’s a breakdown of how intestacy rules work in the UK and why it’s crucial to make a will without delay.
How the Intestacy Rules Work in the UK
When someone dies without a will (i.e., intestate), the law sets out how their estate is divided. These rules apply only to assets in your sole name (not jointly owned assets, which typically pass to the surviving owner).
1. If You Are Married or in a Civil Partnership (With Children)
Your spouse or civil partner will receive:
- The first £322,000 of the estate (plus interest until it is paid).
- Personal possessions.
- Half of the remaining estate after the first £322,000.
The other half of the remaining estate will be divided equally between your children.
2. If You Are Married or in a Civil Partnership (Without Children)
Your spouse or civil partner inherits the entire estate, including personal belongings, money, and property.
3. If You Have Children but No Spouse or Civil Partner
Your entire estate will be shared equally among your children. If a child has died before you, their share will pass to their children (your grandchildren).
4. If You Are Single with No Children
Your estate will be distributed in this order of priority:
- Parents (if they are alive).
- Siblings (if they have passed away, their children will inherit).
- Half-siblings (if applicable).
- Grandparents.
- Aunts and uncles (or their children if they have passed away).
If no relatives can be found, your estate will go to the Crown (the government).
Problems with Intestacy Rules
No Control Over Distribution:
The rules may not reflect your personal wishes or family dynamics. For example, unmarried partners, close friends, stepchildren, and charities you care about will not automatically inherit under intestacy rules.
Unmarried Partners Get Nothing:
If you have a long-term partner but are not married or in a civil partnership, they will not receive anything under intestacy laws, no matter how long you’ve been together.
Potential Family Disputes:
Intestacy can lead to disputes among family members, especially in blended families or where there are disagreements over the distribution of assets.
Children’s Shares Can Be Complicated:
Children under 18 will have their inheritance managed by trustees until they reach adulthood, which can create delays and complications in accessing funds.
No Provisions for Guardianship of Children:
Without a will, there will be no legally binding guardian named for your minor children. The court may decide who should care for them, which may not align with your wishes.
Why You Should Make a Will
Control Over Your Estate:
A will allows you to decide exactly how your estate will be distributed. You can ensure your assets go to the people, charities, or causes you care about.
Provide for Unmarried Partners:
With a will, you can make provisions for an unmarried partner who would otherwise be left out under the intestacy rules.
Care for Minor Children:
A will allows you to appoint legal guardians for your children, ensuring that they are looked after by the people you trust most.
Reduce Family Disputes:
A clear will can help prevent family disputes over your estate by making your intentions clear.
Tax Planning:
A well-structured will can help to reduce the inheritance tax burden on your estate, potentially saving money for your beneficiaries.
Flexibility:
You can leave specific gifts, such as sentimental items or personal possessions, to particular people. You can also leave charitable donations or set up trusts for vulnerable family members.
Make Your Wishes Known:
Your will can specify your funeral preferences or include any other personal wishes you want to be honored after your death.
Take Action: Make a Will
Making a will is a straightforward process that can save your loved ones from the stress, uncertainty, and potential disputes that arise from intestacy. Consult a solicitor to draft a will that reflects your wishes and ensures that your estate is distributed according to your preferences, not outdated legal rules.
Don’t wait—make a will today to protect your loved ones and provide peace of mind for the future. Contact Aidan Squire.
