One of the first things we ask when starting on the financial planning journey with a client is to check whether they have a will and whether it is up to date.  We are still surprised when we hear the answer ‘no’ but perhaps we shouldn’t be.

In the UK, research has highlighted that over half the adult population may be without a will, many claiming they simply haven’t got round to making one yet. The survey by Standard Life in 2011 found that 60% of 35-44 year olds don’t have a will, while 38% of 45-54 year olds and more than a fifth of those over 65 are also without a will.

There are also many presumptions about who someone’s estate will pass to, but the fact is, without a will it is the state who will be deciding where it goes. For married couples any joint assets and upto £450,000 of the estate will pass to the partner. The situation is complicated further where their are offspring (sired by either partner and extending to current, previous or future relationships).  For unmarried couples the situation is very different. Partners have no automatic right to any of the estate, only the assets jointly held, so the estate will then go to any children, parents, siblings and blood relatives – not the partner.

So the only way to ensure it goes where you want it to go is to make a will.

Another very important reason for making a will is because if you die ‘intestate’  (without a will) you can leave your grieving loved ones with avoidable stress, costs and complications. In addition it often results in higher legal fees, a larger inheritance tax bill and in many cases a delay in the distribution of assets.

Making a will is also vitally important if you have children. By naming guardians you can ensure that when you are not around they are going to be looked after by your chosen representatives.

If you are one of the people who have prepared for the future by making a will, then give yourself a pat on the back, but also make sure you review it every few years and particularly if your circumstances change.

If you haven’t got a will, then we highly recommend you make one.