WHAT IS A WILL?

A will is a legal document that provides instructions for the management and distribution of a person’s estate among their beneficiaries after death. This person is known as the 'testator.' 'Beneficiaries' are the individuals who inherit or benefit under the will. The 'Executor' is the person appointed by the testator to manage and distribute the estate upon their death. Typically, the same person serves as both executor and trustee, who holds the estate of the deceased.

If your will names beneficiaries who are minors (under 21 years old), it is advisable to have at least two Executors/Trustees to manage, invest, or use any assets for the minors' benefit.

Problems Created by Dying Without a Will

• Your estate will be distributed according to section 7 of the Intestate Succession Act, which may not align with your wishes.
• Your loved ones will need to apply to the court to become the administrators of your estate, and a secured creditor can also apply.
• The estate settlement process may face unnecessary delays.
• Your business might collapse due to the lack of a known successor.
• Your company’s benefit payout would be delayed, as obtaining a letter of administration is usually longer than getting a grant of probate.
• Life insurance proceeds could be delayed for the same reason.
• If there are minor beneficiaries, your estate must have at least two administrators.
• Your estate needs to provide an administration bond if there are minor beneficiaries.
• In the event of an accidental death, having a legal representative (administrator or executor) for your estate engaged quickly is crucial for commencing legal action.

DOES YOUR WILL NEED TO BE PROFESSIONALLY DRAFTED BY A LAWYER OR A LEGAL PROFESSIONAL? \

Preferably, but not necessarily. If you are at least 21 years old and of sound mind, you can draft your own will without consulting a lawyer. However, a homemade will might be ineffective or invalid, causing unnecessary expenses for your beneficiaries. Thus, it is in your best interest to consult a lawyer for proper advice and drafting. Summit Planners Pte Ltd offers dedicated legal services for this purpose.

If you are a soldier in active military service or a mariner at sea, you can make a will even if you are under 21 years old.

WHAT YOU SHOULD INCLUDE IN A WILL

You should specify the person(s) or organization(s) ('Beneficiaries') to whom you wish to leave your property and assets. This can include your house, car, shares, insurance policies, bank accounts, SRS, cash, and jewelry to family members, friends, or charities.

MONEY IN YOUR CENTRAL PROVIDENT FUND ('CPF')

If you have made a nomination under the CPF Act, your nominee will receive the funds in your CPF account, regardless of what your will states. If you have not made a nomination, your funds will be distributed according to the Intestate Succession Act. If you marry after making a nomination, your previous nomination is automatically canceled unless it was made in contemplation of marriage, necessitating a new nomination post-marriage.

WITNESS YOUR WILL

This is a crucial step. Your will must be signed in the presence of two witnesses, who must both be present simultaneously. Witnesses cannot be beneficiaries or the spouses of beneficiaries under the will.

CHANGING YOUR WILL

Never change your will by crossing parts out, adding words, or attaching anything to it, as this could invalidate it. To change your will, either create a new will or prepare a codicil (Supplemental Will).

REVIEWING YOUR WILL

Your will is nullified if you marry or remarry unless it was made in contemplation of marriage. Review your will if:

• You or anyone mentioned in the will changes their name.
• An executor or trustee dies or becomes incapacitated.
• A beneficiary dies.
• You sell or part with any property mentioned in the will.
• Significant changes in circumstances occur, such as acquiring new property or assets not mentioned in the will.

Regular reviews are recommended.

MAKING YOUR WILL KNOWN

Although a will is a private document, ensure your family and executors know of its existence and location. Your lawyer can store it for you, and you should provide your executors with your lawyer's contact information. You may also register and deposit information about your will at the Will Registry for a fee.

ADMINISTERING YOUR ESTATE

Your will takes effect upon your death. Your executors must apply to the Court for a Grant of Probate, which is issued once all procedural requirements are met. Before the abolition of Estate Duty in 2008, Estate Duty clearance was required.

Executors have the power to act before the Grant is issued, such as paying debts and transferring assets. However, dealing with significant assets required approval from the Commissioner for Estate Duty and a copy of the Grant of Probate.

Once issued, the Grant of Probate makes the will a public document, and the original will is retained by the Court. Executors receive a copy of the will and the Grant, enabling them to manage and distribute the estate according to the will's instructions.

COST

If concerned about the cost of making a will, discuss it with us. An estimate of the cost will be provided before you appoint us to assist with your will.

SYARIAH LAW

Some points mentioned do not apply to Muslims. Under Section 115(1) of the Administration of Muslim Law Act, beneficiaries must apply to the President of the Syariah Court for an Inheritance Certificate to establish their shares. Muslims can only give away or dispose of 1/3 of their estate to persons not entitled under the Inheritance Certificate.