How much should a Will cost?

Fees for Wills vary dramatically from firm to firm. There are those firms who charge about $300 for a Will and those that charge $3,000 or more.

If your circumstances are simple, then you might think the $300 Will (or even a post-office Will) is fine. However, often people think they only need a simple Will because they do not have the expertise to recognise the complexity of their circumstances, needs or the issues that can arise after death.

If you went to a doctor with a pain in your stomach, you wouldn’t tell the doctor how to fix it. You go to the doctor about your issue and let them advise you. It’s the same with wills and lawyers.

‘It’s all really simple’

For example, you might be married with two children. You own a house, have some money in the bank and some superannuation. Neither you nor your spouse have been married before. Simple right?

But have you thought about, or received advice about:

1. Who should be the executor of your estate if you are the last of you and your spouse to die?
2. Should you have one or more executors? What are the factors to consider in making this decision?
3. What if the person you would like to nominate as your executor lives in a different state or a different country? Does it matter?
4. Should you appoint a substitute executor and who should that be?
5. How do you own your assets? Can those assets be governed by the terms of a Will or is another document required?
6. What if you are about to receive a large inheritance? Does it matter?
7. At what age should the children receive their inheritance? How do you make that decision?
8. Who should be the guardian of any child or yours who is under the age of 18 years? What are the factors to consider? Is it ok to appoint a couple to be the guardians of your children, or not?
9. Who should manage the money for the children until they reach the age you have nominated for each of them to receive their inheritance?
10. Should the guardian be the same as the person managing the money, or someone different?
11. If your spouse survives you, what happens to the assets you wanted to be left to your kids, if your spouse later remarries? Is there anything you can do about that?
12. Should you direct your superannuation to be paid to your executor to form part of your estate, or not? Should you direct it to be paid to your spouse, or to your kids?
13. What happens to all the photos you have saved to the cloud or have posted on social media?
14. Is there are more tax-effective way of leaving your assets?
15. Have you made loans or gifts to your kids? Why does that matter?
16. Does a child have any vulnerabilities, health issues, marital problems or financial difficulties?
17. What are the chances that someone might make a claim against your estate and what can you do about that? Even if you leave your estate in equal shares to your children, if you are the last to die of you and your spouse, a claim may still be made. An equal division is not always fair in all the circumstances.

Preparing a Will involves, at least, the following:

1. Obtaining information from you about your family and your assets that will, or distributed in accordance with the terms of your Will;
   
   
2. Advising you so that you can make the decisions involved and helping you understand what those decisions really mean;
   
   
3. Drafting the Will (and usually, an enduring power of attorney and appointment of enduring guardian);
   
   
4. Drafting a letter of advice to you about the provisions of each document and any other action you might need to take (for example, in relation to your superannuation);
   
   
5. Answering any questions you might have about the documents;
   
   
6. After the documents are finalised, meeting with you to explain the document to you and attend to execution of the documents;
   
   
7. Meeting with your appointed attorneys and guardians to attend to execution of the documents (noting that the acceptance of an appointment to act as an enduring guardian must be signed before a solicitor or other eligible witness).

A charge of $300 usually represents less than one hour of a lawyer’s time. The process outlined above usually takes at least 3 – 4 hours of time at the bare minimum.

Some people try to cut down the time involved by asking you to complete a form in which you indicate what you want to do (without receiving advice) or by leaving you to attend to execution of the Will in the presence of other witnesses. This can sometimes make it easier for someone to challenge the validity of the Will later, if it has not been properly read and explained to the person by a solicitor.

If you are selling your house, how much would you expect to pay for the conveyancing? A Will is a document that governs the transfer of all your assets (that can be governed by the terms of a Will) on your death. Furthermore, it usually does not involve the transfer to an unknown third party, but to your loved ones who you have a responsibility to provide for and ensure they are looked after, after your death.

What could be more important than that?

Unfortunately, things can and do go wrong

The case books are full of cases in which there are disputes about the meaning of badly drafted Wills, even those prepared by a solicitor. There are also many disputes between co-executors, who can’t work together and disputes between beneficiaries and executors. The costs of those disputes can reduce the value of your estate, leaving less available for your loved ones. These costs commonly significantly outweigh the costs to get your Wills prepared by an experienced lawyer.

It’s important to get the best advice possible and to spend time understanding the choices involved and making the best decisions possible in all the circumstances.

Why do some lawyers charge so little, considering the time involved, the importance of the decisions to be made and the care that must be taken when drafting the documents? Some lawyers take the view that if they prepare and store the Will, they will get the work involved when that person dies, to obtain the grant of probate and administer the estate. The service of preparing a Will is therefore sometimes considered to be a “loss leader”. This can create the misunderstanding that Wills are simple or easy to prepare, and not ‘worth’ the higher price point.

Our fees reflect the time and care involved in preparing your Will and other documents to ensure the decisions you make and the documents we prepare, are the most appropriate for you and your family, in all the circumstances.

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Disclaimer: This post contains information of a general nature only and is not intended to be used as advice in relation to a specific matter. Although every care has been taken in preparing the document, it may not be accurate or complete, particularly in the context of specific circumstances. MJM Lawyers disclaims responsibility for any errors or omissions.