Money in the event you both die at the same time?

Keep_pedalling

Although few of us on here (including me) recommend making a DIY will  you could do so as a stop gap measure just to cover the unlikely situation of you both dying on this holiday, but if you do that you need to follow that up by making a proper one on your return.

Although the risk of this happening are small the consequences of it doing so are serious.

BungalowBel

If you are so worried about what will happen to your money and possessions in this scenario, then make a proper will with a solicitor.

As others have said, a DIY one would do as a stopgap, but get a proper one ASAP.

Misha96

noitsnotme said:

Misha96 said:

B0bbyEwing said:

Just a curiosity / what if question really.

OH & I don't have any wills in place. No kids either. Basis of this was, Googling seemed to say that if I die then it all goes to OH & vice versa but with us very soon going in one of those big birds in the sky it made me wonder - what if it falls out of the sky & we die at the same time?

Statistically speaking yes I appreciate that doesn't happen so often, but let's change it a little & we're driving on country lanes and some idiot who "knows this road like the back of my hand (you've heard it before!)" comes flying around a corner at 90 straight in to us & again we die at the same time.

Point being it doesn't stop me wondering - what if.

So what happens to everything in that event? Personal possessions and money - money in current accounts, savings accounts, investments such as S&S ISAs, SIPPs, workplace pensions (OH has your standard workplace pension like mine but also currently is part of the NHS pension scheme).

Where does all that go?

I have 1 parent, 2 siblings & of that one sibling has 2 kids.
OH has 2 parents, 2 siblings & of that one sibling has 3 kids. 
All kids under 18. All siblings older than 18.

Again - we have NO will in place, and also no time now to sort one with the time that's left between now & departure. 

I'm assuming you are both terminally ill and don't have long enough to see a solicitor, though Macmillan can be very helpful in such circumstances. A "home brew" will left with executors is better that this situation.

Time left between now and departure is referring to their flight!

Oh crikey! 🤣 Even so, my advice holds until they get home and spend any money left over from their hollies on seeing a solicitor.

sheramber

You should also consider POA, should one or both of you become unable to deal with your affairs. E.G. one or both are u conscious in hospital. Who will make sure bills are paid ,ensure your house is secure,  made decisions  about your care? 

B0bbyEwing

I have a question, but before we get to it, let's get this bit out of the way.......

"you're overthinking things" ......... yeah yeah, heard it before but I'm thinking about it & asking it anyway. Yes I think a lot & I'm not going to apologise for asking about something that could happen even if it is very unlikely. Onwards....

Pensions, private or workplace. What happens to those should your beneficiary die at the same time as you?

I was looking in my workplace pension portal & noticed a bit I could name someone - so I did. What happens to my money should we both die at the same time though? 

Go back to the provider? To the government?

See what I'd like in place is for it to go to various family members but ONLY in the event that the primary beneficiary is no longer able to receive it.

I'm not sure how you'd do that other than just straight up naming them but then they would get just as much instant payment as my primary beneficiary (based on the ratios given).

So in short, not sure how to set in place what I want set in place.

Emmia

B0bbyEwing said:

I have a question, but before we get to it, let's get this bit out of the way.......

"you're overthinking things" ......... yeah yeah, heard it before but I'm thinking about it & asking it anyway. Yes I think a lot & I'm not going to apologise for asking about something that could happen even if it is very unlikely. Onwards....

Pensions, private or workplace. What happens to those should your beneficiary die at the same time as you?

I was looking in my workplace pension portal & noticed a bit I could name someone - so I did. What happens to my money should we both die at the same time though? 

Go back to the provider? To the government?

See what I'd like in place is for it to go to various family members but ONLY in the event that the primary beneficiary is no longer able to receive it.

I'm not sure how you'd do that other than just straight up naming them but then they would get just as much instant payment as my primary beneficiary (based on the ratios given).

So in short, not sure how to set in place what I want set in place.

Who your pension would be paid to in the event of the demise of you and your beneficiary would depend on the type of pension,  and the scheme rules.

My father died after retiring from the civil service, but before state pension age and unmarried at the time of his death. His DB pension didn't pay out anything to his estate. His early death and the money saved on his pension, offsets the cost of providing the pension for those who live for decades after retiring.

So, in relation to your specific scheme, you can ask the provider, or it's probably somewhere in the documentation.

RAS

For your own purposes, you need to ask your own pension provider about the current rules for nominations. A lot will depend if you're in a defined benefit scheme or are accruing a personal pension pot.

My own provider allowed me to nominate anyone as a beneficiary of the lump sum, although they had the right to make the final decision (as legally recommended). It even pays out an additional reducing lump sum for some years after my retirement.

I'd expect that in the event of the nominee's death, the money would go to their beneficiaries as per their will. Which is why sorting out wills matters. 

But the rules regarding this varies between pension providers, even amongst defined schemes. So ask.

As for the larger picture, schemes r koala elied on the fact that some people would take very little from the scheme and others would receive much more either because they died with multiple defined beneficiaries or lived longer. That's the nature of insurance.

And the contributions were based on sums that ensured the scheme was solvent. Schemes have already extended benefits to partners not just spouses, and most of us live longer so there's more pressure on the finances. Extending access further comes with additional cost. So it may not apply to previous contributions and will have to be funded.

sheramber

If you both die at the same time the elder is deemed to have died first.

A workplace pension usually has rules about who can inherit any pay out. Your policy document will tell you.

Private pension would pay out  to beneficiary, subject to the trustees  decision, and then it would depend on what survivor's will said.

Savvy_Sue

Pretty sure you could nominate 'X, or if they predecease me then Y' when I did my nomination, but you'd have to check your own scheme.

B0bbyEwing

How do you find out what sort your pension is then?

For me I'm dealing with my private one with Fidelity & workplace one with NOW Pensions.

OH has private with Fidelity, old workplace with Nest & current workplace via NHS.