Last Updated March 28, 2024
What is a Last Will and Testament?
A Last Will and Testament is a legal document containing instructions for how your estate should be dispensed with after you pass away. Your estate consists of your net worth; your total assets minus your total liabilities, at the time you pass away.
Your assets include cash held in bank accounts; real estate; personal property like vehicles, collectibles, clothing, and jewellery; and investments like bonds, shares of stock, and pensions. Liabilities include outstanding debts like personal loans and mortgages, and any other unpaid financial obligations.
A Last Will and Testament is often referred to as a Will or Last Will.
What is the residue of my estate?
The residue of your estate is the remainder of your assets after your debts, funeral expenses, taxes, and any other outstanding balances have been paid, and after any specific gifts have been given to their recipients. The residue of your estate is typically what gets divided among your beneficiaries. If you do not leave the residue of your estate to one or more beneficiaries, it will be distributed as decided by the courts.
Why do I need a Last Will?
A Last Will is necessary if you wish to specify how your estate will be distributed when you pass away. Your Will enables you to transfer your personal wealth and valued possessions to your partner, family members, friends, and favourite organisations.
Who are the people involved in a Last Will?
There are several parties involved in a Last Will and each person plays a different role.
The Testator (male) or Testatrix (female) is the Last Will's creator. It is their assets that will be distributed when they pass away.
The Executor is the person (or persons) the Testator designates to execute the instructions contained in their Last Will. Your Executor may be a beneficiary listed in your Will. You can also designate an Alternate Executor in case your primary Executor is unable to administer your Last Will.
A Beneficiary is someone who will receive some or all of your estate upon your death. You may name multiple beneficiaries and divide your estate between them as you choose.
A Guardian is one or more persons you want to care for your minor children after you are gone.
A Pet Caretaker is the person you designate to care for your pet(s) after you pass away.
When choosing your Executor, Guardian, or Pet Caretaker, take care to select someone who is trustworthy and can handle the responsibilities of their appointed role. You should discuss your wishes with them and ensure they are willing to accept the role before writing them into your Last Will.
A Witness is someone who validates the completed draft of your final Will. This is achieved by having them observe you when you sign your Will, and then having them sign your Will as well. In Ireland, you must have two Witnesses sign your Last Will and Testament.
Who can be a witness to a Last Will?
Anyone of sound mind over the age of 18 who can visually observe you sign your Last Will can act as a Witness, with the following exceptions:
- A Witness cannot be a beneficiary in your Will
- A Witness's spouse or civil partner cannot be a beneficiary in your Will
When you create your Last Will and Testament, you will need to provide the following information:
- Your personal information: name, address, and county
- Your current marital status
- Your Executor's name and personal information
- Personal information for any/all biological and legally adopted children
- Information about the assets or gifts you wish to bequeath, as well as information about the recipients or beneficiaries of them
What is a "wipeout clause"?
A Wipeout Clause covers a scenario whereby none of your beneficiaries or their alternates are still alive when you pass away. This situation could occur if you and your immediate family were to perish in a house fire or car accident.
In this instance, the government can treat your estate as if you didn't leave a Last Will, which is also known as dying intestate. If this occurs, the government may disperse your estate in a manner you would not have approved of when you were alive.
Use of a Wipeout Clause lets you name one or more "wipeout beneficiaries" who would inherit your estate in a scenario like the one described above.
When should I create a Last Will?
You should create a Last Will if you want to have a measure of control over who will receive your wealth and valued items after you have passed away.
These are some other factors of consideration that prompt people to create or update a Last Will:
- When you get married, have children, or separate from a spouse or civil partner
- If you have investments, savings, or other significant assets you want to distribute between select family members and friends
- If you own property you wish to leave to someone who would benefit most from its ownership
- If you own a business and wish to see it inherited by a partner or a business-savvy relative
- If you travel frequently, work in a hazardous profession, or develop a serious health condition
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