Is there any point in making a will in our scenario?

[aWillQn]

DH and I own a house with approx 75% LTV mortgage.

One child.

No savings. I have a couple of grand in shares.

If I die, DH is named on my pension and will get my death in service grant. If DH dies, I am named on his pension.

I don’t see the point of a will - if I died tomorrow surely my 12.5% ownership of the house simply goes to DH? And vice versa?

Literally anyone can potentially make a claim on your estate. The only way to be 100% clear and sure about where your assets will go , is to make a will.

making a will, especially in your scenario, would be really quick cheap and easy.

why make it difficult for those gou leave behind?

Also, what happens if both you and your husband die in a car crash.

And yes, I’m fun at parties.

I am similarly entertaining at parties- but being prepared for the worst is a lot more fun than not being, if and when it happens.

One child, you need to secure them.

Make a will, say who you want to be the guardians or decision makers, letter of wishes regarding use of any funds in trust for the child.

Appointment of guardian for child?

Yes you should make a Will. That is all.

Gosh, guardianship hadn’t even entered my mind. Wow, okay.

Because I genuinely don’t know what would be difficult. Very few assets indeed! Pensions already nominated.

It doesn’t sound like you need one.
Pensions are outside estates as is Life insurance that’s written in trust. Jointly owned property doesn’t need probate, it simply passes to the survivor.

We didn’t have wills until we had a Grandson.
Married and joint house owners + One DD so everything would go to each other then to her if we both died, when she had our DGS, we made wills to ensure 25% of our estate would go to him when we both died, by which time I hope he will be an adult.
Our life cover ends at 70 and is written in trust so no IHT would be due if we both died together and I doubt our joint estate of house and savings/pensions would be over the IHT limit of £1million.

Administratively, it makes it hugely easier for the surviving family if a will is in place.

(ask me how I know!)

Is your child under 18?

My DH deals with probate forms as part of his job. It’s MUCH simpler if there’s a will.

Please please for your family’s sake, make a will! Even if it seem obvious to you regarding your assets etc, if you die before your DH and child then the last thing they’ll feel like doing is having to deal with legalities. A will takes that pressure away from them, I’d also add a living will too, because from sad experience I know how awful it is making critical decisions for a loved one who can’t self advocate.

You can download a free will template via money supermarket and other sights - the wipeout clause is significant when making arrangements for children,

also, is you house owned as a joint tenancy or tenants in common? If the latter, you don’t inherit it directly if DH dies intestate. His share enters the estate and you as spouse get first £322000 and the rest is divided amongst children (so if he has other children than the shared one you mention they get a share). I f the house is worth less than £650k and there are no other assets it’s probably fine.

But it can take a couple of hours to download a template, decide who you would want to look after DC (and any pets) and make your wishes clear. DH and I have mirror wills leaving everything to the other, to our kids if spouse has predeceased us, and to the kids equally if we both die but also, in the event of a wipe out (ie we AND DC die together), we’ve decided who everything would go to and who would have our dogs.

We didn't have a will in your circumstances.

Owned house as joint tenants so if one us died it would pass to the survivor. All cash - a few £k - in joint accounts which would also pass to the survivor.

Never contemplated guardianship but we should have done.

@aWillQn what's the position with ownership of the house. When you mention 12.5% do you mean half of the 25% equity over and above the mortgage?

Are you joint tenants or tenants in common? If not the former take advice NOW.

Also, do your family know your funeral wishes. It’s much easier for those left behind if they don’t have to think about what type of coffin you want. I’m also fun at parties!

Only with a more complicated estate.
A simple estate with only one legal beneficiary is as easy to administer intestate as it is with a will, as long as there is a competent adult to apply for letters of admin.
I’ve done both, one as executor of a will and one as intestate.

You need a will for guardians if nothing else. Also in the worst situation, the guardian may need access to funds to care for your child.

Pensions will be part of your estate for IHT purposes from April 2027.

My single, childless, house-renting uncle died without a will and even that took over a year before any inheritance was distributed.

It's definitely worth doing now you have DC.

DH and I didn't bother before we had DS, owning our house as joint tenants was enough. When we had our wills done, the solicitor had some questions that I wouldn't have thought of.

And, speaking as a solicitor in a different area of law, please get it done properly. Don't use one of those DIY wills. The consequences of getting it wrong could be very annoying and expensive for your family.

It's definitely worth doing now you have DC.

DH and I didn't bother before we had DS, owning our house as joint tenants was enough. When we had our wills done, the solicitor had some questions that I wouldn't have thought of.

And, speaking as a solicitor in a different area of law, please get it done properly. Don't use one of those DIY wills. The consequences of getting it wrong could be very annoying and expensive for your family.

That’s as maybe but you still won’t be able to leave your pension in a Will.

In any case OP mentions death in service benefits which means their pensions are obviously DB ones and there is no pot of cash to attract IHT.

• to protect your half of your property from care home fees and vice versa for your husband and if one of you dies and the other remarries to protect your half of the estate for your child (rather than your husbands future spouse, children and stepchildren
• to outline your wishes for your child (depending on their age) - it is often advised to protect their inheritance until they are 25 - but even if you don’t do that you can stipulate guardians and so on- and how they can use money from your estate to support your son.
• to make things smooth and easy for your loved ones when it happens

PLEASE do power of attorney for each other at the same time. If one of you becomes incapacitated suddenly it can cause all sorts of issues