Did you know if you don’t have a will it could take up to two years to wind up your estate and distribute your assets after you’ve passed away? Meanwhile, preparing a will could take as little as 25 minutes.

A will speaks on your behalf
Consider a will as speaking for you when you’re no longer able to. A will is a legally binding instruction from you that specifies who will manage your estate and who gets what and when.

According to Vanessa Dudley, General Manager – Retail at Public Trust, many people think if they don’t have a will everything will automatically go to their partner or next of kin when they die. But this isn’t always the case.

Without a will, you are said to have died ‘intestate’, which means the government distributes your assets according to a standard formula. This can often lead to disputes among family members, which in some cases end up in court.

You’re never too young
Having a will is important whether you’re in your 20s or your 90s.

“It outlines your wishes for what you’d like to happen when you die. Having a will can give clarity and reassurance to all the important people in our lives – as well as providing peace of mind for us that we are outlining our wishes in a formal way,” says Vanessa.

She recommends talking to family members about your will, noting that it covers so much more than just financial assets.

“Think about the items that are special to you and your family – maybe that special piece of artwork or heirloom jewellery. Or a secret family recipe, photo album, or cultural item that has been passed down generations.”

Guiding questions
If you’re not sure where to start, Vanessa suggests asking yourself the following questions:

• What would I like to happen to my assets when I die?
  
  
• Are there any special sentimental items or family heirlooms that I’d like to gift to certain people?
  
  
• If I have children under 18, who would I name as a testamentary guardian for them (that is, someone who can make important decisions on behalf of your children).
  
  
• What would I like to happen to my pets?
  
  
• Are there any special causes or charities that I’d like to include a gift to?
  
  
• What would I like to happen when I die? Would I like to be cremated or buried, and where?
  
  
• What specifics would I like at my funeral to help my loved ones celebrate my life, such as flowers, or songs. Leaving clear funeral wishes in your will can be a huge help to family left behind as it gives them direction and a place to start when planning the service.

Limited fuss
Preparing a will doesn’t have to be complicated or expensive. If your situation is straightforward an online service is a great option.

The New Zealand Will Kit provides three different packages, depending on how many people in your family require a will.

Public Trust offers a range of options, ranging from $89 for a basic online will to $219 for more complex requirements. Or if you prefer to create your will alongside a Public Trust expert, you can arrange an in-person appointment for $450.

Engaging a lawyer
If your circumstances are more complicated – let’s say you have a business, multiple trusts or children from previous relationships – it might be worth consulting a lawyer or qualified professional to help with your will.

Choosing an executor
When you’re drafting your will, you’ll need to name an executor. This is a person or organisation who will control and distribute your assets according to your will. Their job involves:

• Identifying and gathering together your assets, selling things like property if required, paying debts and taxes and distributing what’s left to your beneficiaries.
  
  
• Making sure the wishes you’ve set out in your will are carried out.
  
  
• Taking responsibility for your funeral arrangements and your burial or cremation (generally in accordance with you or your family’s wishes – though legally the executor has final say).
  
  
• Providing the court with the relevant information about your financial affairs and the reasons underlying your instructions in your will.
  
  

When choosing an executor, it’s crucial to find someone who you trust and believe would act reliably to follow your wishes as well as act impartially. This could be your lawyer, or a trusted friend or family member – though some would caution against appointing one of your beneficiaries, as they may not be impartial.

Your will is a powerful tool
For those who perhaps don’t have close family or like the idea of supporting a cause close to their heart, this year Public Trust has partnered with Philanthropy New Zealand to encourage Kiwis to consider including a charitable gift in their will (after providing for family and friends).

Public Trust Chief Executive Glenys Talivai says making a bequest is a way people can create a lasting legacy.

“Your will is not only important for planning for the future. Leaving a gift in your will can be a wonderful and meaningful way to give back to the causes, charities and community organisations in that matter most to you.”

Industry experts anticipate a rise in bequests, fuelled by New Zealand’s ageing population and intergenerational wealth transfer. The trend has been dubbed “willanthropy”.

“While we’re seeing more people leaving a gift in their will, it’s still not something that’s widely known. This means there is a big opportunity for New Zealanders to make a positive impact. You don’t need to be wealthy to leave a gift in your will. Whatever you’re able to give can make a big difference,” says Talivai.

Did you know…

• 8% of wills written with Public Trust in the last three years have a gift to a charity.
  
  
• The average value of the gift is $10,000.
  
  
• The most common types of charities provided for are those focused on cancer, children, education, medical research and protecting New Zealand’s environment and wildlife.

Written by: Vanessa Glennie
Vanessa is Head of Communications at Lifetime Retirement Income. She’s an experienced investment writer, having spent more than a decade writing about financial markets in the global fund management industry.