Mirror wills

JJ18

Hi, we are in the process of having mirror wills.

We were informed that we need to set up a trust to leave the property to our children when we die.

Obviously whoever survives (me or my husband) will inherit, then upon both our deaths, our children.

I am not happy with the draft wording of the will as basically when one of us dies the money goes into trust for the children.  Should the surviving spouse wish to sell/move etc, we need to ask the children’s permission.

Is this standard practice?

Thanks in advance.

TonyMMM

Who informed you that you need a trust .... a "will writing" company ?

Savvy_Sue

From You and Yours today

There's been an increase in people being pressured to sign up to expensive will writing and probate services, so much so the Competition and Markets Authority are worried and want the public to tell them if they have been approached by or have used one of these services that typically charge thousands of pounds for work that often should not cost more than a £200.

JJ18

Yes it was a will writing company recommended by the Company I work for.

Robin9

JJ18 said:

Yes it was a will writing company recommended by the Company I work for.

Go to A High St solicitor instesd - ring around and get a few quotes first.

JJ18

Robin, I did get the same quote from a high street Solicitor.  It is not the cost but the content that concerns me.

user1977

Then go to someone who offers less concerning content for the same price?

RAS

Ok, there are different "trusts"

Some sever the tenancy and enable the first person to die to "leave" half to property to someone other than their spouse and enables the spouse to live there until they die, move or go into care. The spouse usually becomes a trustee, alongside the beneficiary (is). 

Often done when there are blended families. And ensures that the whole estate doesn't get paid out in care fees.

The exact rules are written in the will, a solicitor will ask what you want to achieve and explain the consequences of any decisions you are thinking about.

If badly worded they could prevent the spouse moving without consent. But they could also prevent the deceased's children losing all inheritance of the survivor remarries.

Other trusts are much more problematic.

You need to talk this through with a solicitor well versed in inheritance law.

doodling

Hi,

What sort of trust is proposed?

There are cases where a simple trust (aka an IPDI trust) created by the will is beneficial.  They can ensure that your children will eventually inherit from you (rather than your partner remarrying and their spouse gettting everything for example) and provide some limited protection against the remaing spouses care costs whilst allowing them to live in the house.

If such a trust is created by your spouse's will then the trustees would need to be involved in any change of property but that should not generally require their permission (although you would probably need to go to court if the trustees refused to act so they do have an element of control).  You need to decide if the benefits of the trust outweigh the disadvantages and that in turn will depend on your precise circumstances (e.g. how much you trust your partner and the trustees).

If the trust is anything but an IPDI trust (which should not cost anything to set up) then the odds are that you are paying for something which will cost you a lot of money, make your life more complex, make your executors hate you when you do pass away and generally cause trouble - either that or you are a multi-milionaire, in which case why are you asking us?

Your solicitor should be able to explain the options to you and the benefits / disbenefits of them.  If you aren't using a solicitor then you probably should be.

Keep_pedalling

If they are talking about an immediate post-death interest trust then this may be a good idea if it simply applies to the family home. The surviving spouse maintains the beneficial owner of the whole house but because the legal ownership of half the house is in trust it can’t be left to a second spouse or the local cats home.