Our expert Elizabeth Campbell of Smallwoods Lawyers explains the importance of Estate Planning
If someone dies and has not left a Will they are said to have died “Intestate”. This means the estate must be distributed according to the laws of intestacy – this may not be what you want. It is very important you have a valid Will in place – even when you have minimal assets. Elizabeth shares a case study of how things can end up.
Bob aged 19 years was brought up by his mother, a sole parent. Bob lives at home with his mother and is employed as a carpenter. Bob is working on a building site has an accident and dies. Bob never made a Will and has no wife or children. Under the laws of intestacy his parents receive his property in equal shares. Although his only asset is a small amount in a bank account, his Workers Compensation payout is approximately $480,000 which will be paid to his estate and his father will receive half. This is not what Bob would have wanted.