Leaving a Bequest in Your Will
Your will allows you to make a gift of any possessions and money you leave behind once you pass away. This is called a bequest. It can be made to any individual or organisation of your choosing. For example, many people choose to leave a bequest to a charity in their will. Leaving a bequest in your will requires a specific process to ensure it is valid.
Types of Bequests
There are a variety of ways you can make a bequest in your will. You can elect to donate a fixed financial figure to gift, or you may choose to allocate a percentage of the remaining amount after liabilities and taxes are paid.
- Residual bequest – A residual bequest is provided after the remainder of your estate has been distributed and all taxes and debts have been settled. You can choose to gift the total amount remaining or a percentage of the amount remaining. A residual bequest is not a fixed amount of money, instead adjusting as the value of your estate changes.
- Pecuniary bequest – This is a specific financial bequest based on a fixed sum of your choice. You can make a pecuniary bequest by simply detailing the person or organisation you wish to benefit from this bequest and including them in your will. They will then be contacted by the executor of your estate to receive this sum after you pass away.
- Specific bequest – This involves gifting a person or organisation with an item or piece of property. For example, gifting your property to an organisation for the purposes of housing the homeless or disadvantaged. To make a specific bequest, you would outline exactly what you want to share and who to gift it to in your will.
There are also other types of bequests you can make. Talk to a solicitor for exact details and specific advice on making the bequests you want to make.
Importance of Your Will
It’s essential to have a valid will in place so you can decide how you want your estate to be divided, including for any bequests you want to make. Your will is a legal document that states exactly how you want your assets distributed when you pass away. Without one, your belongings will pass on to your next of kin according to intestacy laws.
What is a Devise?
You might come across the term devise while you are looking into making a gift in your will. A devise is like a bequest but refers only to the gift of real property. Real property refers to land and anything attached to the land, such as a house. So, a devise is simply used to transfer title of property or land. However, devise and bequest are sometimes used interchangeably.
Personalised Funeral Services in Western Australia
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