A will is a witnessed document that sets out in writing the deceased’s wishes for his or her estate after death.
Why it is important to make a will (advantages) 33
A will ensures that the wishes of the testator are carried out, e.g. their estate is divided among people as listed on the will. This can provide peace of mind and also avoid conflict arising on the event of their death.
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A testator is a person who makes a will.
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A will ensures an executor is appointed to carry out the wishes of the testator. An executor should be someone the testator trusts to comply with their wishes and do their best to alleviate any disputes.
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A will ensures that guardians and trustees are appointed to look after children should a situation arise where both parents become deceased. These should be people the testator trusts completely to look after the needs of their children.
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A will raises a testator’s awareness of Capital Acquisition Tax (inheritance tax) limits that are placed on beneficiaries’ inheritance, e.g. surviving children can receive an inheritance of up to €280,000 tax free, but they must pay 33% inheritance tax on the remainder to the government. An awareness of these limits can help a testator to distribute their estate in a way that limits the amount of inheritance tax their beneficiaries will have to pay.
Succession Act 1965
If an individual dies without making a will, any money or estate is distributed in accordance with the rules set out in the Succession Act 1965.
The family of the deceased How the estate is distributed
Surviving spouse/civil partner (no children)
Surviving spouse/civil partner and children
Surviving children (no spouse/civil partner)
No spouse/civil partner or children
• Surviving spouse/civil partner receives the complete estate
• Surviving spouse/civil partner receives two-thirds of the estate
• Surviving children receive one-third of the estate • Surviving children receive the complete estate
• Surviving parents receive the complete estate • If the deceased’s parents have passed away their surviving siblings receive the complete estate
• If the deceased’s parents and siblings have passed away the next surviving blood relative receives the complete estate
386 Complete Home Economics
Did you know
Ireland has the highest inheritance tax rate in the
world, at more than three times the international average.
A beneficiary is a person who receives benefits, profits or funds.
