Money Expert > Life Insurance > A Guide to Writing a Will
A Guide to Writing a Will
Make sure your family has the protection it needs with a life insurance plan.
Last updated: 20/01/2025 | Estimated Reading Time: 11 minutes
Money Expert > Life Insurance > A Guide to Writing a Will
Make sure your family has the protection it needs with a life insurance plan.
Last updated: 20/01/2025 | Estimated Reading Time: 11 minutes
Make sure your family has the protection it needs with a life insurance plan.
Creating a will is one of the most important steps you can take to ensure your wishes are respected and your loved ones are cared for after you’re gone. In the UK, a legally valid will gives you control over how your estate – including money, property, and possessions – is distributed and helps minimise potential disputes or complications.
This guide will walk you through the process of writing a will, highlighting key considerations, legal requirements, and practical tips to help you make informed decisions and secure peace of mind for the future.
A will is a legal document that outlines how your estate—including property, savings, possessions, and other assets—should be distributed after your death. Here are the key reasons to have a will:
Control Over Asset Distribution: Without a will, your estate will be distributed according to the rules of intestacy, which may not reflect your wishes.
Protection for Dependents: A will allows you to name guardians for minor children and make financial provisions for dependents.
Reduction of Disputes: A clear and well-drafted will can help prevent disputes among family members and loved ones.
Tax Efficiency: Proper estate planning in your will can help minimize inheritance tax liability.
Peace of Mind: Knowing that your affairs are in order provides reassurance to you and your loved ones.
When writing a will in the UK, ensure it includes the following essential elements:
The testator is the person making the will. Include your full name, address, and date of birth to clearly identify yourself.
Executors are responsible for managing your estate and ensuring your wishes are carried out. You can appoint up to four executors, such as trusted family members, friends, or a professional such as a solicitor or accountant.
Beneficiaries are the individuals or organizations who will receive your assets. Specify their full names and relationship to you to avoid confusion.
If you have minor children, name guardians who will care for them if both parents pass away. Discuss this responsibility with several family members of the chosen individuals beforehand.
Outline any specific items, such as jewelry, heirlooms, or cash amounts, that you wish to leave to particular people or charities.
The residue is what remains of your estate after specific gifts, debts, and taxes have been accounted for. Decide how this should be divided among your beneficiaries.
While not legally binding, you can include preferences for your funeral arrangements, such as burial or cremation.
For a will to be legally valid in the UK, it must be both signed and witnessed by the testator in the presence of two independent witnesses, who must also sign the document.
To ensure your own will is legally binding:
Age: You must be at least 18 years old.
Mental Capacity: You must have the mental capacity to understand the nature and effects of your will.
Voluntary: The will must be made voluntarily, without undue influence or pressure from others.
Written Form: The will must be in writing.
Witnesses: Two independent witnesses must be present when you sign the will. They cannot be beneficiaries or married to a beneficiary.
Write down your assets and what they’re worth. Include:
You’ll also need to account for your debts. These may include
Who do you want to receive your money and possessions following your death? Make a list. This may include
If you’re leaving assets or money to minor children or people with disabilities or mental health conditions, you may want to write the bequests into trust. This means the assets you leave to these beneficiaries can be managed by appointed people, either indefinitely or until those beneficiaries reach a certain age.
When allocating your assets to people and charities, you can use several broad types of legacy:
Pecuniary Bequest: to leave a fixed sum of money to someone. For example: “I leave my daughter £10,000.”
Specific Bequest: to leave a specific item which you own to someone. Anything that meets the description of the item in your possession at your death will be given to that person. For example: “I leave my granddaughter my jewellery.”
Residuary Bequest: to leave a percentage of the value of your estate (after any debts, taxes, costs, and other liabilities have been paid) to a person or charity. For example: “I leave half my estate to my son.” Or “I leave 20% of my estate to the British Red Cross.”
Revisionary Bequest: To leave an asset or a sum of money to one person but to specify what happens to it or who it goes to next if that person predeceases you. For example: “I leave my home/£50,000/Picasso painting to my husband, but if he doesn’t survive me, it passes to my daughter.”
Executors are the people who deal with the distribution and division of your estate after you’ve passed away. This includes collecting all the assets and money due to the estate (which may involve clearing a home and selling the property and any valuables), paying any taxes and outstanding debts, and allocating to the estate to the people specified as beneficiaries or executor in the will.
The will will name your executor. Being an executor involves a lot of responsibility and paperwork so think carefully about who you appoint.
The Inheritance Tax threshold is currently £325,000 for a single person or £650,000 for a married couple or a couple in a civil partnership. Any value of an estate above this threshold will be subject to an Inheritance Tax of 40%. You should be aware of this liability when drafting your will.
There are ways to reduce your Inheritance Tax liability, but they are complicated, and you should speak with an estate planner or other independent financial advisor about them.
Once you’ve decided how to allocate your assets and to whom, you need to codify this by writing it into your official will.
You can have your will drawn up a number of ways:
This will be the most expensive option, but a lawyer will guarantee your will is watertight and help you resolve any complex financial or family affairs. You should consider using a solicitor to write your will if one or several of the following circumstances apply to you: your estate may need to pay Inheritance Tax (if it is valued over £325,000 for an individual or £650,000 for a couple); your family situation is complex, with former spouses and estranged children, and you want to ensure money goes to the people you specify; you want to protect the interest of someone, such as a minor child or a disabled family member, after you’ve died. You’ll generally pay between £150 and £300 for a will drawn up by a solicitor, with joint wills between couples being more expensive. You will generally want to select a lawyer who specialises in wills and probate and you should always check he or she is licensed with the relevant professional body, for example, the Solicitors Regulation Authority or Law Society.
This is the cheaper option - you’ll typically pay around £75 - and will provide you with some guidance and advice, but not as much as a solicitor would offer. Will writers aren’t qualified solicitors and may not be regulated but you can safeguard yourself by only using professional willwriters - one that is registered with the Institute of Professional Will writers.
Some banks offer both free will writing services, and estate planning advice at local branches, although they may charge high fees for these services.
Some charities will offer will writing services, either free or for a fee, to encourage will making and leaving charitable legacies (although you’re under no obligation to leave them money).
The cheapest, but ultimately the riskiest, way to draft a will is to DIY it. You can purchase will templates online or from a stationary store for around £10. But this is really only a sensible option if your affairs are very straightforward, for example, if a married couple wants to leave everything to the surviving spouse after the first death and then to their children in equal shares following the second death. When using one of these templates, make sure you follow all its instructions, especially with the signing and witnessing of it, or else your DIY will won’t be valid and usable.
The beginning of any new will, should state that you revoke all previous wills. If you have prior wills, they should be destroyed.
For any will to be valid, you must have the mental capacity to make it and understand the implications of it. You must have drawn up and signed the original will voluntarily and not under pressure from anyone.
For your will to be valid, you must sign it in the presence of only two witnesses or independent witnesses, who will also then sign it. Beneficiaries of the will and their spouses or civil partners shouldn’t act as witnesses to the will, or they forfeit their right to inheritance. In fact, they shouldn’t even be present in the same way in the room when the will is being signed. it’s also preferable if the executor doesn’t at as witness either.
After your will has been properly signed and witnessed, you need to store it in a place where it won’t be lost or damaged and can be easily located following your death. People typically leave their wills with a solicitor, bank, a will writing firm or service, or with a local Probate Service. You can choose to keep your will at home but be aware that if it is damaged or destroyed, it will become useless.
Not Updating Your Will: Life events such as marriage, divorce, or the birth of children may necessitate updates to your will.
Choosing Inappropriate Witnesses: Witnesses who are beneficiaries or their spouses render the will invalid for those beneficiaries.
Vague Descriptions: Be specific about your assets and beneficiaries to avoid disputes.
Failing to Include a Residue Clause: This ensures any leftover assets are distributed according to your wishes.
Inheritance Tax is a significant aspect of estate planning. Key points include:
It’s important to review and update your will regularly, especially after major life events. To make changes:
If you die intestate (without a will), your estate will be distributed according to the rules of intestacy, which may not align with your wishes. For example:
Writing a will in the UK is a crucial step in securing your legacy and providing for your loved ones. By understanding the legal requirements and following a structured process, you can create a clear and legally binding document that reflects your wishes. Whether you choose to draft your will yourself, use an online service, or seek professional assistance, the most important thing is to take action and ensure your affairs are in order.