FAQ
Who needs Estate planning in Canada?
Everyone needs to do estate planning in order to avoid dying “intestate”. This means dying without having created either a will or a trust which provides instructions for passing your estate on to your heirs. Dying intestate is like taking your property and attempting to throw it to your heirs on the other side of a deep chasm, a chasm that is filled with hazards. These hazards (probate, creditors, con-artists, lawsuits, judgments, lawyers and death taxes) can damage much or most of the value of your estate. Have you ever wondered why the families of famous people often have auctions to sell of family memorabilia within months of the passing of their loved one? In most cases, this is done to offset the “tax man” or other creditors.
All property owners have done some estate planning for the distribution or their estates or their heirs whether they are aware of it or not. Without a will or trust, the inheritance laws will determine how your property will be distributed to your heirs. If you have no heirs, the province will be glad to accept the proceeds of your estate.
Upwards of 50% of Canadians do not have a will. Those who do have some form of will have often left themselves open to excessive taxes and the expense and time delays of probate.
So, if you haven’t looked at your will in awhile and your situation has changed, you need help. If you do not at least have a simple will in place, you need one. If you have even modest assets that are increasing in value, like your home, you may need tax planning to avoid excessive taxes. In any event, a regular review of your plan is always prudent.
What do I need to do to prepare to meet with an estate planning attorney?
Start with printing out ou Estate Planning Questionnaire (MS Word File) (PDF) . This will help to get your organized and your thoughts in order. Write down any questions that you have that this process will generate. Then make an appointment for a consultation. Completing this process will save you time and legal fees.
How much will it cost to hire a lawyer?
Like everything else in law, that depends on the complexity of the estate, tax considerations and planning, and the size of the estate. A simple will professionally prepared by an attorney may cost only a few hundred dollars and give you the piece of mind that a do-it-yourself will “kit” cannot.
I own a small family business that I want to pass to my children when I die, or when I retire, does estate planning cover this area?
Absolutely, Small business is the engine that runs our country. The efficient transfer of businesses from one generation to the other is a very important area of estate planning that we are proficient in. We take a team approach with your other advisers to minimize taxes and to make the transfer a smooth one.
