Will Preparation & Estate Planning

 Kashif Ahmed– Real Stories from Financial Planners

Do you know how to prepare a will?

Have you made your will, yet?

Do you know the requirements of a will creation?

Will preparation could be an overwhelming task considering the rules and requirements that need to be obeyed accordingly. Nonetheless, planning ahead with respect to your personal affairs (will creation or estate planning) can save problems and expenses for your family in the future.

Not sure where to start? Continue to read this newsletter and let us guide you through the process of will preparation, validation, and the planning of your estates.

What Is A Will?

A will is a legal document that states how someone wants their estate to be divided after they pass away. Their estates include what they own (assets) and what they owe (liabilities).

Why do we create a will? Preparing a will helps protect your assets and your family; it lets the court know what to do with your estate after your death. A will often needs to go through probate, which is a process that ensures the will is real and was left by the deceased person.

Will usually names an executor or administrator (can be one person or several people) who is responsible for carrying out the instructions in the will. You may name a person who is close to you such as a family member or a friend as an estate representative. You can also name a financial professional as your estate representative. It is always recommended that you talk to your estate representative to ensure they’re comfortable with their role and responsibilities.

What Are The Requirements For A Will To Be Valid In Canada?

It is important to note that a person who is beneficiary under the will, or their spouse, must not be a witness, as this would make the bequest to that beneficiary void.

Are You Obligated To Create A Will? What Happens When You Decide Not To Create One?

You are not legally required to make a will. However, if you die without a will, your property will be divided accordingly to B.C.’s law (or in accordance with your province). You will also be giving up the right to appoint the guardian of your choice for any children in your care.

Do You Need A Lawyer To Write A Will?

You don’t need a lawyer to write a will. However, it is a good idea to obtain professional legal help when you make your will. This will help you make sure all your documents are prepared and witnessed properly.

Estate Planning and Estate Representative

Estate planning means arranging how you will leave your money and property after death, and what you intend to leave your spouse, children or others.

Part of estate planning is assigning an estate representative that will administrates your estate. Those administrators are primarily responsible for settling debts and liabilities and dealing with assets of the deceased in accordance with the will. If there is no estate representative or no will, then the responsibility of handing your estate settlement will be determined based on provincial or territorial law.

Responsibilities Of an Estate Representative

As estate representative, you are responsible for carrying out the instructions written in the will. These responsibilities may include:

Does Living On Or Off Reserve Matter For Estates?

Indigenous Services Canada (ISC) is responsible for estate services in all provinces. Meanwhile, Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC) is responsible for estate services in the Yukon and Northwest Territories.
Under the Indian Act, the Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC) is only involved with estates for people “ordinarily resident” on a reserve.

“Ordinarily resident” on a reserve means that an eligible First Nations person usually lives on a reserve and does not maintain a primary residence off a reserve. They may, however, temporarily live off a reserve for education purposes or to obtain care or services not available on a reserve.

What You Can Do When Someone In The Family Passes Away?

Handling the affairs of someone who died can be very different from one person to another. The following checklist helps you determine who to notify, points you in the right direction, and keep you organized:

• • • Register the death,
    • Get a death certificate,
    • Cancel a Canadian passport,
    • Cancel a citizenship certificate or permanent resident Card,
    • Cancel driver’s license, BCID, and/or BC service card,
    • And more…

For the full checklist, please click here

Helpful Resources For Indigenous Communities

Preparing a will ensures that a person’s wishes of how they want their estates to be distributed is going to be met. Educating yourself about will preparation and estate planning is an important part of planning for your family’s future. You can use a kit to write your own will, and its’ always a good idea to get help from a lawyer or notary public to review your will and ensure it is valid.