Securing Your Legacy, Part III
‘Where there is a will, there is a transfer of wealth’
Throughout my article series entitled ‘Securing Your Legacy’ we’ve explored the importance of estate planning in wealth creation, having the right financial partner, and choosing the right financial assets. As we continue the journey, this week we explore advanced strategies to protect and distribute your assets, specifically the importance of having a will. This article is written in collaboration with Stacey Knight, attorney at law*.
While it’s natural to focus on the present, planning is equally important. One critical aspect of this planning is creating a will. A will is important because it is a legal document that outlines your wishes regarding the distribution of your assets and the care of any minor children in the event of your passing. Despite its importance, many people delay creating a will, often due to misconceptions or discomfort with the topic. If you don’t make a will then your intent is not known, that’s the starting point.
What is the process and best time to write your will?
To draft your will you can either use a template or seek the assistance of an attorney. Writing down who gets what is only the beginning as a will must also be signed, with two witnesses present, to be valid. The testator (person making the will) should appoint an executor to distribute the assets in accordance with the will. After the testator’s death the will is probated in court, and then authority is granted to transfer property to the beneficiaries. In addition, there is no need to wait until you have acquired vast wealth to make a will because you can make a new one as often as you acquire new assets; some people do it every year. A new home, births, or marriage are good times to update your will. As such, your will must be regularly reviewed and updated to reflect changes in circumstances and to safeguard against outdated provisions.
What if you die without a having will?
If someone dies without leaving a will the law presumes who should inherit their belongings according to a hierarchy, with priority given to one’s spouse, then children, parents, other family members (grandparents, aunts, or uncles), and if the person leaves no living relatives, ultimately the Government (bona vacantia). This underscores the importance of having a will as it can help protect your assets for future generations. By specifying how your wealth should be managed and distributed you can ensure that it is preserved and grows over time, providing financial security for your loved ones.
If you’re contemplating drafting a will, taking an inventory of your assets is an important first step. This includes real estate, investments, retirement accounts, life insurance, and personal possessions. Understanding the full scope of your wealth allows for more precise planning and distribution strategies. If you need guidance on drafting your will it is always best to consult a legal professional. For guidance on structuring your financial assets Sterling offers you sound wealth management through our carefully crafted set of investment opportunities that match your goals.
Estate planning is essential for all Jamaicans, and the recommendation is to start early, invest wisely, and update your will regularly. By doing so individuals can ensure they lay the groundwork for the preservation and growth of wealth across generations while minimising the risk of litigation.
*Stacey Knight is a senior associate at Knight, Junor and Samuels.
Anna-Joy Tibby is the assistant vice-president, personal financial planning, at Sterling Asset Management. Sterling provides financial advice and instruments in US dollars and other hard currencies to the corporate, individual and institutional investor. Visit our website at
www.sterling.com.jm
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