By: Sunny Tathgar – Tathgar Law
Creating a will is one of the most important steps in protecting your assets and ensuring your loved ones are taken care of. However, many people make critical mistakes that can lead to legal complications, delays, or even their will being deemed invalid. In British Columbia, estate laws have specific requirements that must be followed. Here are some of the top mistakes to avoid when drafting your will.
1. Not Having a Will at All
One of the biggest mistakes is simply not having a will. Without a will, your estate will be distributed according to BC’s Wills, Estates and Succession Act (WESA), which may not align with your wishes. This can create unnecessary stress and financial hardship for your loved ones.
Solution: Ensure you have a legally valid will in place that clearly outlines how you want your assets distributed.
2. Using a DIY Will That Doesn’t Meet BC’s Legal Requirements
While online templates and DIY wills may seem convenient, they often fail to meet BC’s legal standards, leading to ambiguity or invalidation.
Solution: Work with an experienced BC estate lawyer to ensure your will is properly drafted, signed, and witnessed according to BC law.
3. Not Updating Your Will After Major Life Changes
Life events such as marriage, divorce, the birth of children, or acquiring significant assets can impact your estate plan. Under BC law, marriage does not automatically revoke a will, but divorce can affect beneficiary designations.
Solution: Review and update your will regularly, especially after major life events, to reflect your current wishes.
4. Failing to Name a Suitable Executor
An executor is responsible for managing your estate and ensuring your wishes are carried out. Many people choose a family member without considering the complexity of the role.
Solution: Select an executor who is responsible, organized, and willing to take on the role. You may also consider appointing a professional executor (such as a lawyer or trust company) if your estate is complex.
5. Being Too Vague or Ambiguous
Unclear wording can lead to disputes among beneficiaries and even legal challenges. Phrases like “divide my assets fairly” can be interpreted differently by different people.
Solution: Use precise and legally sound language to specify exactly how you want your assets distributed.
6. Forgetting to Name Alternate Beneficiaries or Executors
If your primary beneficiary or executor predeceases you and no alternates are named, your estate may face unnecessary delays.
Solution: Always name backup beneficiaries and executors to ensure your estate plan remains effective.
7. Not Accounting for Taxes and Probate Fees
Many people overlook the tax implications of their estate plan. BC has probate fees based on the value of the estate, and certain assets (like RRSPs or investment properties) may be subject to capital gains tax.
Solution: Work with a lawyer or financial advisor to minimize taxes and fees through estate planning strategies like joint ownership, trusts, or beneficiary designations.
8. Leaving Out Digital Assets
In today’s digital world, many people forget to include important online accounts, cryptocurrency, or intellectual property rights in their wills.
Solution: Make a digital estate plan that includes instructions for handling your online accounts, digital assets, and passwords.
9. Failing to Properly Sign and Witness the Will
Under BC law, a will must be signed in the presence of two witnesses who are not beneficiaries or the spouse of a beneficiary. A will that is improperly witnessed may be challenged in court.
Solution: Ensure your will is properly signed and witnessed according to BC’s Wills, Estates and Succession Act (WESA).
10. Assuming Your Common-Law Partner Will Automatically Inherit
In BC, common-law spouses do not have the same automatic rights as legally married spouses when it comes to inheritance. Without a will, they may have to go through a lengthy legal process to claim part of the estate.
Solution: Clearly name your common-law spouse as a beneficiary in your will to avoid legal disputes.
Final Thoughts
A properly drafted will can save your loved ones stress, legal headaches, and financial burdens. Avoid these common mistakes by working with an experienced BC estate lawyer who understands the province’s unique laws and requirements.
If you need help creating or updating your will, contact Sunny Tathgar.