Who Should I Leave My Assets to in My Will?

Assets is the umbrella term that describes the things you ‘own’. You can think of your assets as a personal collection of things you’ve bought (or inherited) over the years… although, some things do fall outside this realm.

Before we dive into who should inherit your stuff when you pass away, let’s take a closer look at exactly what stuff we’re talking about, shall we? 

What are assets?

Things that are considered ‘assets’ include:

• Property

• Cars or other vehicles

• Shares

• Bank accounts/cash

• Household items.

An asset example in action

Some assets have to go through a formal process before finally being handed over to the next of kin, or the person you have in mind. Take this example: 

If a joint vehicle owner survives you, the executor of your estate will need to transfer the vehicle ownership into their name through the relevant road authority – it can’t go to your person of choice. 

However, if no joint owner exists, then you can include instructions in your Will for your executor about the distribution of cars. If you have not mentioned anything about the car or other vehicles, then the executor will be free to either sell the vehicle and distribute the cash to the beneficiaries, or distribute the car to a beneficiary. 

What assets can you not include in your Will?

Yep. Some assets aren’t yours to freely give away after you die. These include:

• Compensation payments

• Assets from being a joint tenant

• Anything held in trust

• Some types of superannuation

• Certain kinds of physical property.

Can I choose who to leave my assets to?

It depends. There is a misconception that people can choose exactly who inherits their belongings. While this is typically true, there are exceptions. In Australia, all states and territories have laws allowing certain family members to contest a Will if they feel they haven’t been adequately provided for.

These eligible applicants include:

• Spouses (including de facto and civil partners)

• Children (including stepchildren and adopted children)

• Dependents (those who relied on the deceased for support).

The bottom line is – yes, there is a chance that your prized car will be passed down to your child, friend or even neighbour of choice, however, your other children and certain family members need to also be adequately provided for, too. (There are exceptions to this, so it’s worth seeking legal advice to talk through your options.)

Tip: For guidance on providing (or not wanting to provide) for estranged or financially irresponsible family members in your Will, please explore this guide: Do I have to equally distribute assets among dependants in my Will?

Wrap up

Any Will that is ever made can be challenged. This depends on factors like who gets what, the assets involved and the complexity of the situation. Whether the Will was created with lawyers or through the Willed platform, it could still face challenges. Sometimes, disputes can be settled through mediation, but in other cases, they might end up in court and require a legal resolution. To avoid this, it’s best to either make provisions for everyone or seek legal advice for your situation. (Legal advice is always recommended!)

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.