Will inheritance disputes are becoming increasingly common as estate values increase and blended families become more common. (Source: Getty) <\/p>\n
More than half of Australians don\u2019t have a current will and it could have major ramifications as the $3.5 trillion wealth transfer wave<\/a> begins. The number of people contesting wills has spiked<\/a> and lawyers expect disputes will continue to grow as the size of estates increase and family dynamics become more complex<\/a>.<\/p>\n Only 42 per cent of Aussies say they have a current will<\/a> that reflects their situation, a new survey of 1,019 people by Safewill found. That\u2019s despite, 53 per cent of Aussies sharing themselves or someone they knew had experienced family conflict due to a will inheritance<\/a>.<\/p>\n Safewill Legal senior associate Matthew Wyndham told Yahoo Finance the rate of estates that were experiencing disputes<\/a> was increasing across the country and this was only expected to continue.<\/p>\n RELATED<\/p>\n \u201cEstate sizes are just getting bigger and bigger, property values are growing and people are passing away with far more wealth” he said.<\/p>\n “This Baby Boomer generation<\/a> have carried the vast majority of society\u2019s wealth for some years and that is being passed on.<\/p>\n Wyndham said his firm has been experiencing “far more complicated and varied family dynamics” than in previous years.<\/p>\n “A lot of blended families, a lot of de facto rather than marriages and maybe children outside of the nuclear family structure, which can lead to more complex estate planning needs and more likelihood or higher likelihood of dispute,” he said.<\/p>\n More knowledge of rights in an estate has also contributed to an increase in disputes, Wyndham said, with more information readily available through the internet and artificial intelligence<\/a>.<\/p>\n Do you have a story to share? Contact tamika.seeto@yahooinc.com<\/p>\n Wyndham said family provision claims were the most common grounds for contesting a will<\/a>.<\/p>\n In NSW, for example, family provision claims grew by 10 per cent from 878 to 968 between 2019 and 2023.<\/p>\n \u201cThat\u2019s an application by someone who was somehow related to the deceased,” Wyndham said.<\/p>\n “That might be through a romantic relationship, whether it’s its de facto or marriage, it might be because they were a child of the deceased, it might be because they were in some way financially dependent on the deceased in life.”<\/p>\n \u201cBut that person either receiving no provision or limited provision from an estate and having some financial need, and the courts reflecting that financial need and redistributing the estate.\u201d<\/p>\n Story Continues <\/p>\n Wyndham said he was also seeing disputes around the administration of the estate, with claims made against the executor for possibly mismanaging the estate or taking too long in administering the estate.<\/p>\n Wyndham said the easiest way to help avoid disputes<\/a> was to create a will.<\/p>\n \u201cThe base position to minimise the risk of a dispute is to make a will and make sure it reflects your wishes,\u201d he said.<\/p>\n \u201cMake sure that you\u2019re appointing suitable people to that role of executor so it\u2019s people who are capable to take on the administration.<\/p>\n “If there is no one in your life that you\u2019re comfortable doing that then you might consider a professional executor as well.\u201d<\/p>\n If you die without a will, the law decides who gets your assets.<\/p>\n This is known as dying intestate.<\/p>\n This can create problems as your estate may not be distributed as you wanted and it won\u2019t take into account your individual wishes or situation.<\/p>\n Wyndham said people didn\u2019t need to wait until they bought a home or had a child to create a will, and they could in reality do it the moment they had a bank account or super fund.<\/p>\n \u201cFor the majority of us, the value of the will is actually appointing the executor and what that is is just granting the authority to your chosen person or people to deal with your estate,\u201d he said.<\/p>\n \u201cBecause the process of dealing with an estate if there isn\u2019t a will, even if it\u2019s going to be the same people doing it, it\u2019s far more complicated.<\/p>\n “It\u2019s saving your loved ones, whether it\u2019s family or friends or whoever it may be, a lot of hassle in the administration of your estate.\u201d<\/p>\n Get the latest Yahoo Finance news – follow us on Facebook<\/a>, LinkedIn<\/a> and Instagram<\/a>.<\/p>\n Aussies have been reminded that creating a will can help avoid disputes in the future. (Source: Getty) <\/p>\n