A will is not a once-off document for estate planning it should evolve as your life does. An outdated will can create uncertainty, delay the administration process and lead to outcomes you never intended.
Your Estate and Circumstances Evolve and So Should your Estate Planning
A will is your final set of instructions. However, life changes such as marriage, divorce, the birth of children or the passing of a loved, can affect how you would like your estate to be handled. If your will is not updated to reflect these changes. Your estate may be administered or distributed in a way that no longer aligns with your wishes.
When a will is outdated, it often leads to confusion or disputes among beneficiaries. Chosen executors may no longer be appropriate or available, and unclear provisions on bequests can delay the winding up of an estate. These issues can increase costs and place additional emotional strain on your loves ones.
In South Africa, this is particularly important. Divorce does not automatically revoke or update your will. Specific rules and timeframes may affect an ex-spouse’s inheritance rights. Review your will after divorce or remarriage. This is especially important if you do not want an ex-spouse to inherit. Failing to update your will can have unintended consequences. In some cases, the outcome may be worse than having no will at all.
Marsh Fidelity Case Study – A Real-Life Reminder to Keep Your Will Up to Date
We recently administered an estate that highlighted the risks of an outdated will.
We had been advised that the deceased had divorced many years earlier. The deceased then remarried and stayed married for more than ten years. His surviving spouse was unaware of any will, and she engaged us to assist with the estate administration. Accordingly the estate was initially reported by us as intestate.
During the administration process, we wrote to the banks – a bank then advised that it held the deceased’s original will, dated 1991. The will named the deceased’s former spouse as the sole heir.
As a result, we were required to trace the former spouse and advise her of her inheritance. When asked whether she would consider renouncing her benefit in favor of the surviving spouse, she declined.
Fortunately, the deceased had been married in community of property. This meant that the surviving spouse was still entitled to her half share of the joint estate, despite the terms of the will.
Had the deceased been unmarried, or married out of community of property, the outcome could have been very different. The surviving spouse may have received little or no benefit from the estate, despite having relied heavily on the deceased for financial support.
This serves as an important reminder that estate planning is not a once-off exercise. Major life events such as marriage, divorce, the birth of children, or the acquisition of significant assets should prompt a review of your will. Keeping your estate planning documents current, and your loved ones aware, can help ensure that your wishes are carried out and that the people closest to you are protected when they need it most.
A Simple Review can Make a Meaningful Difference
As your financial position and family circumstances change, your will should be reviewed to ensure it remains accurate, practical and suited to your family’s needs. Changes in tax and legal frameworks may also affect how your estate should be structured, especially in relation to estate duty and beneficiary outcomes.
We recommend reviewing your will annually.
We also recommend a review after any major life event. Examples include:
- Marriage or divorce.
- The birth of a child.
- The death of a loved one.
- A significant investment or business transaction.
Updating your will is a simple but important step, as it helps protect your legacy. Adds certainty and reduces the risk of disputes. It also gives your loved ones clarity during a difficult time.