If you have a legal Will and you’ve nominated a beneficiary and back-up beneficiaries (nice one, so organised!), then your primary beneficiary (or maybe your back-up beneficiaries) will be looked after according to your wishes. Now, we know what you’re thinking. Individuals are one thing… but where do companies and charities come into the equation? First up, it helps to understand exactly what a beneficiary is and who can legally be one.
Here’s a quick rundown:
What are beneficiaries?
The main purpose of a Will is to select people (or organisations) who will inherit your assets after your death. If your wishes are clear (we’re talking no illegible scribbles, cryptic clues or super strange demands), then your assets will be left to whoever you like when you pass – aka, your beneficiaries. Easy does it.
Who can be a beneficiary of a Will?
Typically, people’s loved ones are named as beneficiaries of the Will. However, you can also leave your assets to organisations and entities, like charities.
So, can a company be a beneficiary of a Will?
Finally – the moment you’ve all been waiting for! The answer is… a resounding yes, because any separate legal entity, like a company, can be a beneficiary of your Will. Although it’s not super common for people to want to give their assets to a company, it’s still possible. For example, you may own or be a part of a family business and you’d like to support it after your death. So, because a company is a separate legal entity, it can be a beneficiary of a Will. Yay!
So, what about charities?
Yep! Charities can be beneficiaries of Wills because they fall under the ‘organisations’ category of beneficiaries. Plenty of people choose a charitable organisation as a beneficiary of their Will or as a bequest, as this is the perfect way to continue your personal legacy while helping your community in the process.
You bet your ass-ets that your Will is an important legal document that holds a lotta weight. And while people generally choose to leave their assets to family and friends, some people prefer to give back to registered charities, or a company of their choice (or a mix of all these things). To conclude – yes, a company can be a beneficiary of a Will. The important thing is to leave clear instructions in your Will, so no one’s left wondering what your final wishes are when the time comes.
The process of choosing your beneficiaries doesn’t have to be complicated. If you’re dealing with non-stop questions swirling around that smart brain of yours, then give our friendly team a call at 1300 945 533 or get in touch with us at [email protected].
Disclaimer: The content of this blog is intended to provide a general guide to the subject matter. This blog should not be relied upon as legal, financial, accounting or tax advice.