What Is A Will?
A will is a legal document that states how you want your estate to be divided once you die. Your estate includes what you own (assets) and what you owe (liabilities). An up-to-date will can help your estate representative deal efficiently with your estate when you die. While nobody enjoys contemplating what will happen when they die, a will can help to ease your mind by mapping out what will happen to your property and loved ones once you are gone.
You are not legally obligated to prepare a will; however, absent a will, the laws in Ontario will determine how your estate is divided. For this reason, it’s prudent to get professional legal help to draft a will. Tailor Law wills lawyers can help ensure that all of your documents are prepared and witnessed properly.
What Issues Do Wills Cover?
Wills generally cover issues such as:
- Guardianship of dependents;
- Appointment of an Executor;
- Funeral Arrangements; and
- The distribution of property and assets.
Protecting Your Wealth And Your Loved Ones
Regardless of your financial situation, it is always advisable to draft a will to ensure that your wishes are carried out in the way that you have envisioned. Once you are ready to discuss the possibility of drafting a will, the lawyers at Tailor Law can advise you on the various options available to you, and create a document that is suitable to your specific needs.
Setting up a will does not have to be a grave or tedious process. Our legal team can work with you to achieve your goals at a reasonable price and at a time that is convenient for you.
Estate Costs To Be Considered: Probate Fees
Probate fees are fees associated with ensuring that your will is legally approved by the courts in Ontario. When your probate fees are calculated, the Executor of your will is typically appointed as well. In assessing the amount of your probate fees, our lawyers will go over your expenses. Generally speaking, if you have a condominium that is worth $250,000, your probate cost will most likely exceed $3000. Given the high cost of probate, our lawyers make the utmost effort to minimize your fees and ensure that your estate goes to whom you wish.
Estate Costs To Be Considered: Tax On Capital Gains
Capital gains are profits made from the sale of a piece of property or the profits made on an investment. If you own property or have investments, you may have noted capital gains on your previous income tax returns. If you had a capital gain on your return, your accountant may have deferred part of it by claiming a reserve, or your accountant may have reduced all or part of it by claiming a capital gains deduction. After your passing, all capital property and investments are disposed of, and your estate covers the tax on any capital gains. Capital losses are covered by your estate as well.
Estate Costs To Be Considered: Tax On Tax-Sheltered Savings Plans
Tax-sheltered savings plans are plans such as Registered Retirement Savings Plans (RRSPs) and Registered Retirement Income Funds (RRIFs). You may have heard your bank discuss the possibility of setting up an RRSP (if you do not already have one). Both RRSPs and RRIFs can be transferred to your spouse in a will. As these types of savings plans have been created in order to grow savings tax-free, such accounts can be transferred tax-free to your spouse’s plan. If you do not have a spouse, these savings become fully taxable after your death.
Tailor Law lawyers are ready and waiting to assist you with your will and related matters. Please give us a call today at 905-366-0202 to book your free consultation today.