Despite its importance, people often delay creating a will and many think they might not have enough assets to justify having one, but this couldn’t be further from the truth.
What Is A Will?
A will, also known as a last will and testament, is a legal document that outlines how you’d like to distribute your assets in the event of your passing. These assets can include money, investments, property and personal belongings such as cars, furniture or jewellery. Having a will allows you to name beneficiaries as well as specify exactly what each of them will receive. You can also name an executor, a person that you trust, who’ll be responsible for using your assets to pay off any debt before distributing them amongst your beneficiaries.
Why Do You Need A Will?
A will puts you in control over how your assets are distributed after you’re gone. Without a will, your assets will be distributed according to South Africa’s Interstate Succession Act and handled by the Master of the High Court in a way that might not align with your wishes. If you don’t have a will, your passing could cause disagreements and even legal battles amongst your loved ones – the last thing anyone wants during such an emotional and stressful time.
Another reason why it’s always a good idea to have a will is that, if you have children under the age of 18, you can name a specific guardian to take care of them should you and their other parent pass away. Without a will, the court will appoint a guardian and, again, this might not be someone you’d approve of.
Do I Need A Will If I Have A Life Insurance Policy?
Yes! A life insurance policy is a great way to create a financial safety net for your family. It pays out a lump sum to your beneficiaries in the event of your passing due to accident or illness. This payout comes from your life insurance policy, NOT your assets. This means that, even if you had to pass away without owning a house or having a large bank balance, your loved ones could still be taken care of. It’s important to note that the beneficiaries of your life insurance policy don’t have to be the same as those in your will.
The Bottom Line
At the end of the day, everybody should have a will and you have several options in regards to how you create one. This informative post will give you a useful breakdown of the various ways you could go about it. Much like a life insurance policy, a will is a way to get peace of mind that your loved ones will be taken care of after you’re gone, something that will always be priceless.
Did you know you can create a will online with MiWayLife?
