Recent changes to the law governing what happens to an estate when a person dies without a Will (intestacy) have been in effect since March 1. These changes to the Succession Amendment (Intestacy) Act 2009 only strengthen our position regarding the necessity of urging people to have a modern, practical Will in place. See the worst case scenario below that would leave any family pulling their hair out.
Case Study
Mr Vic Timm, 45 years old, 2 children from previous marriage, currently in a relationship with Ms Goldie Diger, 24, for just over 2 years. Mr Timm recently inherited $3 million from his parent’s estate.
Mr Vic Timm dies unexpectedly when a golf ball hits him in the temple while driving past his local golf course on way to his weekend half marathon run. Mr Timm does not have a valid Will.
Under the new laws, Ms Diger will stand to inherit over 50% of the $3million estate:
Statutory Legacy = $350,000 +
Half of the remaining estate = $1,325,000 +
Personal effects
= $1,675,000
Mr Timm’s two children will receive equal shares in the remaining $1,325,000 or $662,500.
IF ONLY MR TIMM HAD A VALID WILL!!!
View the attached document below for a summary of the changes.
Succession Amendment (Intestacy) Act 2009 – summary of changes
