Legacies – it’s never too little or too late

Benjamin Franklin once said “In this world nothing can be said to be certain, except death and taxes”. While taxes are unpleasant, facing our own mortality is even more disagreeable, but it is an inevitability that we must all plan for or we risk leaving our family in a situation where a sudden death leaves them in confusion and uncertainty.

Research commissioned by My Legacy, a coalition of over 80 charities, found that Irish people are failing to plan fully for the future by making a will. Just one-third of people living in Ireland have put their wishes in writing in a legal document: 71% of those over 45 years, 26% of those aged 25 to 44 years and 3% of those aged 18 to 24 years.

“People think making a will is a bit morbid, but it’s just practical and gives peace of mind,” says Susan Murphy, a Wexford-based solicitor.

“I think the idea that it is something to do in your 70s is gone and people can see the hassle caused when a will is not made. As soon as you have children or buy an asset like a house, you should think about making a will and review it as your circumstances change.”

Witnesses

Making a will is actually quite a straightforward process and has a number of basic criteria: it must be for a person over 18, in writing and signed in the presence of two witnesses who do not stand to benefit from the will.

The first step is to consult a solicitor. Shop around first for the best rates, as it should be a fairly inexpensive process. The relatively small investment required to have a properly drafted, clear and valid will is well worth it.

Your solicitor will take a note of your personal details, your assets, your wishes and explain everything in relation to inheritance tax. The solicitor will then draft a will and if you are satisfied with the draft it will be signed in front of witnesses. Any changes to your circumstances would mean reassessing the document.  

Once family and friends have been looked after in the will, some people may consider leaving a gift to their favourite charity, especially if they have had personal experience of the charity or a family member had an illness associated with that particular charity.

However, it is an option that most people don’t actually consider, either because it does not occur to them or because they think legacy gifts are only for millionaires or rich philanthropists.

“I find that when people are asked to consider a legacy they feel they don’t have enough to give to charity,” says Susan Murphy.

“Some might say that charity begins at home and every bit they have should be given to their family, or that a charity might be looking for a house or €100,000, but every little bit helps. If ten people leave €500, that’s the same as one person giving €5,000.

“That would really benefit a charity, whereas €500 against an estate is really not that much. Most Irish estates are valued at €100,000 by the time property, pension and life assurance are considered. A small legacy is huge to a charity and very little to an estate.”

If you have decided to make a will, it may be worth contacting a charity of your choice to discuss how a legacy can best help the causes you care about most, and then discuss with your solicitor about putting something aside to support charitable work.