For many people, reviewing or updating their Will annually would be unnecessary, particularly in the most straightforward cases. For example, where a husband and wife have Wills leaving their estate to each other and then on to their children when the survivor dies. There is going to be little that changes on a year-by-year basis in this situation.
However, that is not to say such a Will should not be reviewed from time to time, particularly when it comes to the appointment of guardians and executors and when it comes to changes in relationships or the death of a beneficiary. Having an out-of-date Will can result in real issues for executors and beneficiaries and cause a significant cost to the estate of the deceased person.
Below, we have provided an example of what can happen when a Will is not reviewed on a regular basis and provided some general advice.
The importance of updating a Will
Case study
Mary made her Will in 1998. At the time she was widowed and did not have children. In her Will, she left her estate equally between her brothers and sisters (of which there were six). She included a standard provision that, if any of them had died before her, their descendants (children then grandchildren) would inherit their share of the estate.
Mary died in 2020, having suffered from dementia for the last six years of her life. She had not updated her Will.
When Mary died only two of her siblings had survived her to inherit their shares of her estate. One of those was in a care home so the inheritance he received was used in paying for care that the local authority would otherwise have funded.
With regard to the four siblings that had died before Mary, a company had to be instructed to identify and locate their children (and where any such children had also died, the grandchildren). This was a time-consuming and costly exercise for the estate. The beneficiaries received their inheritance. Whilst Mary was related to these beneficiaries, she did not know them and had never met them.
Mary’s long-term friends and neighbours, who helped her while she lived at home and visited her in the care home, did not receive anything from her estate.
Had this particular testator kept their Will up to date, the administration of his estate would have been easier and carried less cost. Additionally, the testator’s estate would have passed to the people she specifically chose, rather than to people she had never met. Whilst this is a rather extreme example this illustrates the need to keep your Will under review.
Reasons for updating a Will
A person should consider updating or making a new Will in the following scenarios:
- If there are changes to the Inheritance Tax rules or other relevant changes in legislation
- If they get married or divorced
- If they buy or sell anything that they have made a specific gift of in a Will
- If they have more children
- If they move overseas
- If the person they appointed as a guardian dies, or becomes too ill to look after their children if they themselves die
- If they want to change their executors
- If they change their mind about anything in their Will
It is also worth noting that a Will will be automatically cancelled if someone:
- Makes a subsequent Will;
- Gets married or enters a civil partnership; or
- Their Will is physically destroyed.
They will then need to make a new Will or the rules of intestacy will apply.
Changing a Will – adding a codicil
There are situations in which someone might want to keep an existing Will, but just make minor changes to it. This can be done by making a codicil. If they want to make more fundamental changes to their Will, it is recommended that they make a new Will.
It is important that any codicils drawn up are done so professionally as it could have unintended consequences. Also, to be effective, a codicil must be signed, witnessed and dated in the same way as a Will. The codicil is subject to the same formal requirements as a Will. Common uses of a codicil are:
- To change an executor
- To change a specific gift
- To add a beneficiary
- Other minor alterations
It is also recommended that a new Will is made if someone does not want people to know the specific changes in their Will, as their last Will and codicils to it become public documents once a Grant of Probate has been issued.
Comment
At Nelsons, we recommend that Wills are reviewed and updated regularly, around every five years, or when a major change occurs that impacts you or your loved ones. By doing this and seeking legal advice, you’ll be able to re-evaluate your circumstances and be provided with specialist support and guidance as you discuss your situation and personal wishes. This may also help you reduce your Inheritance Tax bill.
Updating your Will – How we can help
Catherine McCannah is a Partner in our expert Wills and Probate team.
Our team of specialists:
- Deal with the administration of many high-value estates and Inheritance Tax issues;
- Advise and assist executors appointed to administer the estate of a deceased friend or relative; and
- Help the family of those who die without a Will to sort out the consequences of intestacy.
Our team offer a choice of ways to help you when making or changing a Will, according to how much you want to spend and how much support you would like.
For more advice or information, please contact a member of our team in Derby, Leicester or Nottingham on 0800 024 1976 or via our online enquiry form.
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