Avoiding Delays to Family Payments in Death
Written on the 11 April 2011 by G. Dean McKinnon
Obtaining probate for a will essentially means the court is satisfied the will is the last will of the person who died. This process may need to be completed before the organisations holding the estate assets (e.g. bank, super fund) are able to release the assets to the will's executor.
In some cases the estate's assets may be frozen until the court grants probate which could prevent the family from paying even the most basic bills such as home loan payments, electricity bills, or even buying food.
We recently addressed this issue with a client by restructuring the beneficiary list of their life insurance and superannuation policies. Our solution enabled a portion of their assets to be paid directly to their family and therefore did not form part of their estate. By avoiding the probate process the client has peace of mind knowing their family will at least be able to meet their basic needs in the event of their death.
Our comprehensive financial plans incorporate estate planning requirements. Contact us for a free assessment.
Author:G. Dean McKinnon