While much of the estate planning advice available today focuses on finances, there is a lot more to legacy planning than just passing along a house or some bank accounts. Legacy planning can often go beyond the financial and legal aspects of drafting wills and naming executors. Here are some of the things British Columbia adults should consider while making a plan for the future of their family.
There are a number of things to consider when drafting an estate plan. It is not uncommon for people to become overwhelmed by the process and wonder if they are doing things wrong. Fortunately, legal counsel can typically spot and fix any issues in British Columbia wills as long as they are caught in time. Here are two of the most common mistakes professionals encounter when it comes to wills and estates.
There are many legal complexities to estate planning and preparing a will. However, before digging into details and exceptions under British Columbia law, it is a good idea for individuals to understand the two central documents needed for a plan. Wills and powers of attorney are the two cornerstones of estate planning. To be valid, both documents should be drafted by a competent adult with the support of an attorney.
Someone you love and respect has asked you to be their executor. They, the testator, trust you to handle their estate once they're gone and to ensure that their final wishes are respected. It may feel like an honour, and it often is, but there is a lot more to estate administration than meets the eye.
Most people assume that an ex-spouse will have no right to their estate once a divorce is finalized, but this is not always the case. Depending on the separation agreement, a spouse may be able to make a claim support on assets from their former partner's estate. It is a good idea for British Columbia individuals to clarify how estates will be handled when drafting a separation agreement and to update wills to reflect the new arrangement.
You have met someone you really like and the romance is blossoming. Your kids are happy for you as you have been so lonely since your spouse died. All is going well but don't forget that there is a timer ticking on your relationship. In B.C. if you live in a marriage-like relationship for two years, then you may be considered to be "spouses" under the new B.C. Wills, Estates and Succession Act (WESA). This means should you die, your "spouse" would be entitled to make a claim on your estate if you have no Will and if you do have a Will, your "spouse" can apply to the court to vary the will in their favour.
No one enjoys thinking about their death, but it might be more necessary than you think. Have you thought about what will happen to your family after you are no longer there to provide for them? Do you know how your estate and assets will be distributed among your family? Do you know who will make important decisions about you and your family when you no longer can?
Tommy Smothers used to say to his brother, "Mom always liked you best." As between brothers, jealousy for the affection of parents is common. But what if Mom likes her church or a charity more than you. This is a problem when parents leave their estates to charities rather than their own children. Two BC Court of Appeal cases have tackled this issue.