Articles

When it comes to estate planning, it’s essential to understand the different options available to ensure your assets are distributed according to your wishes. Simple Will The simple Will offers a straightforward distribution of assets to beneficiaries. It is the most common type of Will and does the following:- Appoints an executor to manage your estate and distribute assets; Outlines how your assets should be distributed on your death, often making ‘simple gifts’ of your estate assets to your beneficiaries, which they take in their personal names. These types of Wills are generally easy to implement and are generally suitable for non-complex estate planning circumstances. They offer minimal to no tax effectiveness or asset protection for your beneficiaries. Simple Wills are typically more cost-effective and make for a timely administration of an estate. They are ordinarily sufficient in the case of smaller estates, where there are no concerns about asset protection or tax planning and the beneficiaries are financially responsible. Testamentary Discretionary Trust Will A Testamentary Discretionary Trust (TDT) Will is a Will that sets up a discretionary trust inside the Will for your beneficiaries. It does not take effect until the Willmaker passes away. If one or more of your beneficiaries: are in an occupation which could carry a risk of litigation; are at risk of a marital or relationship breakdown; have special need or disabilities; or have a history of poor financial management; a TDT Will protects and manages the assets for them by appointing trustees to make appropriation decisions about the use of funds in the trust. When deciding between a simple Will and a TDT Will, consider your goals for asset distribution and the level of control you want over how and when beneficiaries receive their inheritance. At Payne Butler Lang, we can assist you with simple Wills and we can do more complex testamentary discretionary trust Wills. Importantly, we will also help you work out which one is most suited for your circumstances.