In one case before the NSW Trustee and Guardian, a man died without a will and his birth records could not be confirmed. Without a next of kin, the man’s estate worth $180,000 went into the public purse, Professor Prue Vines of UNSW Law says.
She warns that if you have assets such as property in the form of land or other items, superannuation or a healthy bank account, you should consider creating a will if you don’t already have one.
Importantly, it helps to give a smooth transition for your relatives at the same time they are grieving.
Without a will, you also run the risk of dying ‘intestate’, and your assets being distributed to your next of kin – which may include those relatives you’re not so keen on.
“How far that goes varies across jurisdictions. In NSW, the furthest relative to take is a first cousin. Your assets will be distributed according to this legislation after tax and debts have been taken out,” Professor Vines says.
Importantly, if you die intestate, the court will appoint an administrator to administer your estate – and if you don’t have any relatives closer than a first cousin, your estate will go straight to the Government.
And, how often should you update your will if you do have one?
Professor Vines recommends updating your will every five to 10 years, unless nothing has changed in your relationships and your assets.
“Wills may be revoked by marriage or divorce. If the entire will isn’t revoked, then some gifts may be revoked by marriage or divorce. So, it’s probably best to make a new will after any major life event.”
You can find out more about how to get wills and other important documents in order at agedcare101 here.
