Making a will is one of the most important steps you can take to protect your loved ones and ensure your wishes are carried out. This blog outlines the key steps to help you prepare.
1. List Your Assets and Debts
Start by identifying everything you own — property, savings, investments, pensions, and personal belongings. Then, calculate your debts. Subtracting debts from assets gives you your net estate, which is used to calculate Inheritance Tax.
This list also helps you decide how you want your estate to be distributed.
2. Don’t Overlook Your Digital Assets
In today’s world, digital assets are increasingly important. These include things like:
- Email and social media accounts
- Digital music libraries
- Photo and videos stored online
- Cryptocurrency
Consider who should access and how, so they can manage these after your death and act according to your wishes.
3. Plan for Inheritance Tax
If your net estate exceeds £325,000, Inheritance Tax (IHT) may apply. Some exemptions exist — for example, transfers between spouses or civil partners are usually tax-free. However, strategic estate planning can help reduce or even eliminate IHT liability. Always seek expert legal advice to understand the best options for you.
4. Choose Your Executor(s)
Appoint someone you trust to administer your estate. You may also name a substitute or joint executor in case your first choice is unable to act. Choosing your executor is a crucial decision, as they will be responsible for carrying out the instructions in your will.
5. Identify Your Beneficiaries
Decide who should inherit from your estate, including any specific gifts (items or sums of money) and whether you wish to leave anything to charity. Clearly outline what items or shares in your estate you intend to leave to each beneficiary.
6. Plan for Your Residuary Estate
After any specific gifts, the remainder of your estate (the residue) must be distributed. Decide how this should be shared. If not specified, this portion may fall under what is called ‘intestacy rules’, which is the legal default, and may not reflect your wishes.
7. Prepare for the Unexpected
Think about what should happen if a beneficiary dies before you. Make provisions in your will to ensure your estate is redirected.
8. Appoint a Guardian (If Applicable)
If you have younger children, it’s vital to name a guardian in your will in case both parents pass away. Discuss this with your chosen guardian in advance to ensure they will accept and consider what financial provisions you should make for your children’s care until they reach 18.
If you have a child with a disability, consider long-term care needs, including legal guardianship into adulthood.
9. Sign Your Will Properly
You must sign your will, and it must be signed in the presence of two independent witnesses, who must also sign. Witnesses can not be beneficiaries of your will.
10. Store Your Will Safely
Keep your will in a secure place and ensure your executors know where it is (or your solicitors’ details). A will that can’t be found is as good as no will at all.
11. Review Your Will Regularly
Update your will after major life events such as marriage, divorce, having children, or significant financial changes, e.g. an increase in wealth or if you inherit a large sum of money or property. Also consider how any changes might impact Inheritance Tax plans.
Even without major changes, review your will every 3–5 years to ensure it still reflects your wishes.
12. Consider a Letter of Wishes
Though not legally binding, a letter of wishes can guide your executors. It may include funeral preferences, explanations for certain gifts, or your hopes for how assets should be used.
13. Get Professional Legal Advice
A professionally-drafted will ensures your wishes are clearly expressed and legally sound. Mistakes in homemade wills can lead to costly disputes, delays, and emotional distress for your loved ones.
With our Surrey solicitors at Howell Jones, expert help is just a conversation away. For professional wills advice, contact one of our friendly Wills & Probate team today on 0800 011 9813.
