Some people are so secretive about their personal and business dealings that upon their death, their families are unaware of such dealings, and are cheated out of assets for which they could claim ownership. Planning for death is one of those essential things that many of us avoid. Talking about death and dying can cause us anxiety and we’d rather not deal with that so many people put off making a life plan.
Whether or not you choose to write a will, you should at least have a life plan to keep your next of kin informed about important details of your life. The contents of your life plan will give your next of kin important information that they will need to tidy up your affairs should you fall ill or die. Every life plan will be as different as the person writing the plan. A life plan can include whatever information you choose to include, but it should include the following:
- The account number and branch location of all bank accounts and credit card accounts; the location, contact details and account details for any investment holdings (stocks, bonds, mutual fund accounts, etc); and the name and number of any insurance policies you hold.
- Personal identification numbers – social security number, national identity number, etc.
- The name and contact details of your lawyer, accountant, stock broker, insurance agent, and other personal account officers.
- The location of your valuables including personal property such as jewellery and cars; real property such as land and houses; and intangible property such as rights to intellectual property.
- The location of your will and other estate planning documents as well as important documents such as your birth certificate (if you have one), your international passport, etc.
- Details of any outstanding debts that you owe or that are owed to you.
- Details of any outstanding legal matters.
This information can all be written in a notebook and kept in a secure place that can be easily accessed by the trusted person assigned to take custody of it and carry out your wishes. You can also include your wishes for your funeral rites. If you have specific wishes concerning your funeral, your will is not the place to express those wishes. I know of situations where a person’s final wishes contained in their will were not respected because family members were not aware of those wishes.
There are many instances of family members losing out because the deceased person did not share enough information with their spouses or next of kin. Sometimes, for different reasons, people acquire property in a third party’s name and their interest in that property is lost upon their death because no one in their family is aware of their interest in the property and the details of the ownership arrangement with the third party.
If the idea of making a will does not appeal to you, there are other options for transferring your property that you can discuss with your lawyer. For instance, trusts are an option. Some people also choose to transfer ownership of certain property to a holding company with their beneficiaries as directors and shareholders in the business. Others dispose of all their property and divide the proceeds as they wish before they die. Your lawyer will advise you on the advantages and disadvantages of the various options.
Ultimately, you cannot please everyone in your will, but please, do not be like William Shakespeare who willed only his “second-best bed” to his wife Anne Hathaway. In any case, in Nigeria, testamentary freedom is somewhat limited, by moral, customary and religious considerations, meaning that you can dispose of your property as you wish, only to a certain extent. You cannot, for instance, leave everything for the care of your loyal, pet dog, and nothing to your relations, or pull what I call the one-dollar trick where the deceased leaves a spiteful one dollar to their spouse. You are expected to make reasonable financial provision for your spouse(s) and children, who can apply (within 6 months from the grant of probate) to the courts to challenge the will.
In some jurisdictions, inheritance laws stipulate a minimum that must be left to a surviving spouse. For instance, the surviving spouse could be entitled to 30% of the value of the deceased’s estate. There are also laws to ensure that surviving children are adequately taken care of from the estate of the deceased.
Your lawyer will advise you on the best methods to transfer your wealth to the next generation. But outside of legal formalities, it helps to have your personal affairs in order and to share certain details with a trusted friend or family member. Grief doesn’t go well with uncertainty.
