Dying Without a Will – The Rules of Intestacy

No one likes to think about their own passing, but not having a will can mean a long and complicated process for those you leave behind that often doesn’t work out the way you would prefer.

In the UK, dying without a will means your estate is subject to the rules of intestacy; a set of regulations that date back almost 100 years with very little change. Such is the nature of the intestacy rules that many modern family conditions are not recognised – stepchildren, for example, will find themselves left completely without the legal right to any of the estate.

There are very few family situations where dying intestate is preferable. Writing a will is an important way to make sure that your wishes are known upon your death and enables those left to administer the estate to do so with confidence.

The rigid definitions of the intestacy rules

If you die without a will, the majority of your estate will pass to your spouse or civil partner and the remainder to your children and grandchildren. However, what this means can be unexpected for some.

Passing your estate to your ex-partner

The definition of terms can make things a little complicated. In the first instance, it is worth noting that only married partners and those joined by civil partnership have the legal right to inherit. This means that many people are overlooked despite having been lifelong partners.

The other unwanted situation is when the estate (or a large chunk of it) is passed to an ex-partner because the marriage or civil partnership hasn’t been dissolved.

Treating your children as equals

One of the positive aspects of the intestacy rules for many people is that all children are treated equally; there’s no order of priority and anyone you are a blood parent of will get an equal share of the estate.

Sadly, only those who are your children by blood or through a completed adoption are considered ‘children’ by the rules of intestacy; thus stepchildren or those part of a non-married blended family are left without any right to inherit.

The intestacy rules in brief

The rules themselves are quite simple:

• If there is a spouse or civil partner and no children, they inherit the full estate and all chattels (the personal possessions not considered of financial value).
• If there is a spouse or civil partner and children, that partner will receive all chattels, the first £250,000 of value, and half of the remaining balance of the estate. The children will receive an equal share of the remainder of the estate.
• If there is no spouse or civil partner, then the children will receive an equal share of the estate.
• If any child has died, their children (the grandchildren) will receive their share, split evenly between them.
• If there is no spouse, no children and no grandchildren, then the estate is inherited by the next of kin in line; parents, siblings, other blood relatives.

It’s worth noting that all personal possessions go to the spouse, irrelevant of any sentimental value or wishes of other family members. This can mean that children or other relatives are denied even the smallest trinket that they hold dear.

Child guardianship – the sadly often unconsidered effect of dying without a will

A will doesn’t just determine what should happen with your wealth and worldly possessions, it also can help secure your children’s futures. Dying intestate means that no one knows your wishes when it comes to the guardianship of your children. In a stable two-parent family, the situation can often continue as normally as can be hoped for, with the remaining parent retaining full custody and residence for the children.

When the family is more complicated however, dying intestate can have some serious consequences for your children, many of which you may not wish for:

• Children immediately become the custody of any other person with parental responsibility – this can include an ex-partner, even if they have been estranged from you and the children for many years.
• Step-parents do not automatically gain guardianship.
• Other family members (such as grandparents) do not gain guardianship.
• Any legal child arrangements orders to which you are a party become nullified.

These factors can have a considerable impact on your children’s lives and cause lasting problems, especially during a time of immense grief for them.

Writing a will enables you to set out your wishes for your children upon your death. While declaring that you would like someone to become a guardian after your passing does not make the situation legally binding, it will be taken strongly into consideration during any custody proceedings that follow.

Secure your children’s futures with a professionally prepared last will and testament through Black and White Accounting.

The unforeseen effects of intestacy

Dying intestate can have a large number of ramifications to those you leave behind. Not only are the rules rigid and unforgiving but administering the estate and getting everything put into order can be incredibly time-consuming.

When you take the time to prepare your will, you naturally make sure to include any details that other family members might not know. This could include bank account information for saving accounts that you have kept or details on your life insurance policy.

Many family members struggle to evaluate the full estate after an intestate death and a large portion of your finances could go permanently unclaimed.

Working through an intestate estate can also take many months, and even years, putting those you leave behind in a state of financial difficulty while waiting for money to be unlocked and properly distributed. It can mean that property is sold against the will of those living in it, or that inheritance tax is more of a burden than it need be.

Many people believe that they don’t need a will simply because they are happy for everything to be inherited by their spouse or civil partner, without thinking what would happen for the children and remaining family if they both died simultaneously. While accidents of this nature aren’t something anyone really wants to plan for, ignoring the possibility can have devastating impact.

Writing a comprehensive will can solve all of these problems and lessen the burden for your grieving family.

Writing a will with Black and White Accounting

Black and White are experts in making the right will to suit you. With our experience in accounting, we are able to help you with the even the most complicated financial aspects of your will, advising on everything from inheritance tax through to trust funds to manage the finances for your young children into adulthood and their own financial maturity.

For more information on our will writing service, please contact us or call us directly on 0800 140 4644.