Could I have the standard advice on Wills & guardianship please?

[LupusinaLlamasuit]

Yes, I know the first and only rule is 'use a solicitor' (funny how it is always the solicitors with that one )

but I mean more sort of: what questions do DH and I need to work out the answers to before we go to the solicitor? The ones we really haven't thought of because we've been avoiding the issue for years in an utterly irresponsible manner?

Puhleeeeeeeeeeeeeeeeeeeeeeeeese.

Most firms will send you out a will questionnaire first, and on that you can put who you want to be your executors and guardians.

It's generally better to have separate guardians (Mr & Mrs X) who will approach the executors (mr & Mrs Y) for money for the children's upkeep.

The solicitors will then put a clause in the will after the appointment of the guardians clause to say that the guardians shouldn't be out of pocket.

Hmm, what else do you need to know....Appointment of guardians only applies if both of you die before the children are over 18.....

If your solicitors don't send a questionnaire form out to you and you have to go and see them "cold", you need to be ready to give them obviously info such as full names, dobs,address etc for yourselves but also the full details of the executors (2 people), the guardians, a list of any personal possessions you want to leave to anyone in particular, any gifts of money to anyone inc. charity, a rough idea of your net worth so they can think about inheritance tax, when you'd want your kids to inherit if you both die before they're grown up, & who you'd want your money to go to in the event that you all go at the same time (sounds morbid I know, but you will be asked that one).

Thanks - that's a good start.

What are the current IHT thresholds/rules? And does not actually being married make a difference?

I think IHT threshold is still £312k each, however haven't done any wills for a few months and it may have changed in the budget.

I thought from your OP that you were married, but if not, then yes, it does make a difference so far as IHT is concerned( (married couples have a joint threshold of £624k, only payable on 2nd death).

It potentially also has an effect on the children if your partner doesn't have parental responsibility.

If you own a property jointly but aren't married, again there are implications. Depends on how you hold the property, ie whethr as joint tenants or tenants in common.

I know you said solicitors always say go and see a solicitor, but there's a reason for that - we have to sort out the mess that sometimes happens when people don't take legal advice! Sorry.

So actually, for IHT purposes, is better to be married? (I just call him DH cos it's easier!)

I think he has PR for two out of three because the law changed in between. Eeek. better get married sort that out then too.

And - sorry, but you're so lovely and helpful right now - can you explain what a trust does in words of one syllable. And why people have them? And why people might not need them?

My handy Budget guide says IHT is now charged over £325,000.

When I get DH to focus on wills he always gets obsessed about details like will he leave his bike to his brother or to the boys? And I think he should focus on big picture stuff instead. Our solicitor got us to write a letter of wishes about that sort of thing, which is kept with the will but is not a binding part of it. So you do not need to think about who gets Aunt Esme's tea set before you see the solicitor.

There are all sorts of different types of trust, depending on what you need one for.

If you're thinking in terms of your money being held in trust for the children if you go before they've grown up, then the will will include a pretty bog standard trust by which the executors will hold your estate on trust to pay the money to the children as and when each of the children are 18, 21 or older (there are tax implications in this as well btw). It will, as mentioned earlier, allow for the guardians to access the trust for reasonable expenses with the executor's consent.

There are various other types of trust to do with the way you may hold your house which are sometimes appropriate when you have two lots of children and step parents.

Yes, I think you should get married!!

Sazzle, tbh will writing is not rocket science and any well established high street practice is likely to have a competent wills and probate specialist. I'd advise not going to one who does a bit of everything, though.

I normally charge £175 for a single will or £240 for mirror wills plus VAT.

Your solicitor will normally store the will in a safe for you at no charge.

If the firm goes out of business, the law society will ensure that your will is passed on to another local practice and you will be told in writing.

Another hijack here - if your appointed guardians are a couple and they split, is the guardianship clause in your will defunct?

It's pandemic panic isn't it? and indeed [grim]

I sorted my Life Insurance out this week too. Expect DnotH to do me in, in around 6 months time when the start-up penalty runs out.

Leningrad.

Before leaving the guardians total control of your assets, you might want to think about appointing executors seperately from the guardians. However much you trust the guardians, there have been lots of cases over the years where, given carte blanche, the guardians have diddled the children, so sep. execs is usually a good idea.

Agree you should only appoint solicitors as executors as a last resort as the costs can be horrendous.

we've just done our wills via my work union, which was free.
we gave guardianship of our kids to my sister but made both our mothers executors of the estate. basically we left everything to the kids but our mothers will handle the financial aspects of the estate till they are 21.

Thanks for all your splendid advice. Crikey, we haven't even thought about/asked guardians yet and . I know it is bad (esp given eldest is, um, 10) but must now get on with it.

Do people often/always choose family? Older mothers not always best choice (planning ahead and all). Do people's sisters ever say no? I can't imagine saying no to my sister but...

And executors: need to be younger people, right? Or not? What happens if you forget, and your executors pre-decease you and then you forget to appoint new ones etc?

Lupisina, re. your q. about execs, they can be anyone over 18 and it's fine for them also to be a beneficiary, so in most husband/wife wills, the first thing is that the husband will appoint the wife as sole executor and sole beneficiary, then go on to say that if she's predeceased him, THEN, appoint 2 execs etc etc.

If one of your execs is unable or unwilling to act and you haven't replaced them then the other exec can appoint someone to act with them. It's a good idea to have an option 3 just in case, so a bog standard will will say:

1. I appoint my wife to be sole exec & sole beneficiary but if she predeases me then I appoint my brother and my wife's sister to be executors BUT if eithr of them are unwilling/unable then I appoint as a default exec. my brother's sister to act in their place.