A Letter of Wishes that sits with your Will can explain, guide and inform those you leave behind. Jane talks about what they are, the different types, and why they can be so important.
When we see you to discuss your Will or Powers of Attorney, we always ask if there is any guidance you want to give your Executors or Attorneys for the future. I’m hoping that this short article explains some of the many reasons you may want to consider doing that. We help you to provide guidance to the Executors of your Will in a “Letter of Wishes”. When you provide guidance to your Attorneys, we call this a “Statement of Wishes”.
Both are similar, providing information that will help those you are appointing to understand what your wishes really are, or why you have made certain decisions. The beauty of a Letter of Wishes is that it can be easily updated at any time after you’ve made your Will or Power of Attorney. Though we always recommend the latest version is kept securely with the relevant document.
Something to note about a Letter of Wishes is that it is not legally binding. It is simply guidance – written in the hope (expectation!) that your Executors or Attorneys will follow it. You could call it “morally binding” if you like.
Letter of Wishes for your Will
Below are some of the types of Letter of Wishes that you may want to leave alongside your Will. They can leave some guidance, or an explanation for some of the decisions you have made.
Funeral wishes
You can set out exactly what you want in a Letter of Wishes if that is important to you. We provide you with an outline of all the things for you to think about. This may include the type of service, readings or music you’d like. Or maybe which charities you may wish to support. You can complete it at your leisure so there is no need to hold up getting your Will signed!
Gift List
If you want to leave specific items to certain individuals it is useful to keep those details in a Gift List rather than the main will. Then, if you change your mind / want to add or delete things, it is a simple task. Although we don’t recommend this for high value items.
A Gift List can be useful to show your Executors where you would like your belongings to go to. You can even include fun things like donating all your wine collection to the local cricket club!
Remember that a Letter of Wishes is not legally binding, so any gifts you absolutely want to make sure left to someone should be in the main part of your Will.
A voice for the future of your children
Your children are your most cherished asset. So why would you just appoint guardians and then leave them to get on with it? Help them decide. You can help your Guardians know what things are important to you. They can use this to understand more about your priorities and wishes for them way. And explain it to them when the time is right too. For example:
- Do you have a particular type of school you want them to go to?
- Do you want them brought up in a particular faith?
- Do you want them supported in any particular areas they are showing talent in?
Provide financial guidance for your children
A Letter of Wishes kept with your Will can guide your executors on how they may wish to support any children who benefit from it. Children under eighteen can’t take their inheritance. But they can be given capital money in certain circumstances. A property deposit or university fees perhaps?. You might even want to advance money to them for a holiday for their 18th birthday with friends paid for!
Provide an explanation about your gifts
It may surprise you to know that despite a fall out with your children/grandchildren you should not assume that they will not be expecting a part of your estate. It is important to record the reasons why you have excluded someone to minimise the risk of the expense and time of a claim. This may delay probate. And your beneficiaries inheritance may take longer to distribute.
Your Will becomes a public document for all to see when Probate is granted. Most people would prefer guidance to be in a separate private document. A Letter of Wishes! You can mark the document as “only to be opened” in the event of a claim on your estate.
Why are they so important?
Helps those you leave behind
Letters of Wishes are often used to help others:
- To explain why you’ve made certain decisions. Knowing why someone did something may make understanding a little easier. For example – “I’ve left John my car because he always looked after it”. That may help Jane know why her brother was given the car rather than her. Or “I chose Lucy as my Executor because she works in a bank and knows about these things” may help Susan understand her Gran’s reasons.
- To guide your Executors in their decision making. Providing them with guidance really assists. For example – I’d like you to make sure that Freddie continues to have piano lessons as I think he really does have a talent”. That may guide them to release funds for his continued learning.
- To inform those you leave behind and make their job easier. You may wish to give them information about where things are. Or details about how to find certain items or specific accounts. Rather than having this private information in a Will, you can put them into an accompanying Letter of Wishes. You can easily update over time, and leave it in a sealed envelope if you wish.
Helps a court in any future disputes
Without a Letter of Wishes explaining why you have / have not done something that appears out the ordinary can be so useful. Without it, a court will have to look at whatever surrounding evidence they have to decide on the matter. Give them the clarity that is needed.
Proves it was your actions and deliberate
Often a dispute arises from disgruntled relatives when they feel they should have received some inheritance. They will then try to argue that you lacked capacity to make those decisions. Or say that you had been unduly influenced by those you have left assets to. A clear and concise statement set out by you in a Letter of Wishes will go a long way to prove otherwise.
Statement of Wishes for your Powers of Attorney
A Statement of Wishes is very similar to a Letter of Wishes. When it accompanies your Lasting Power of Attorney (LPA) it really will help your attorneys. It will show them what you wanted. By putting it in the statement rather than in the actual power itself, it allows your attorneys some flexibility.
Think about it as guidance “I would like you to consider ….”, rather than an instruction “you must …”. Anything contained in the actual LPA is very much a “must do”. In an accompanying letter it is more a direct request to carry things out wherever possible.
Provides guidance on your finances
A Statement, or Letter, of Wishes gives you a say in how you want your assets dealt with whilst you are alive but unable to manage your own affairs. You can direct your Attorneys to use a financial advisor of your choice if you want. Or you can give them information about who may be able to help them. Or the types of investments you wish to make. All in a way that is easily updated over time.
Maintenance and Support
Attorneys aren’t allowed to make gifts on your behalf – other than customary gifts for e.g. birthdays. That is because they must act in your own best interests. And any gifts need to be authorised by the Court of Protection. But writing some guidance to your Attorneys about situations where you are already supporting, or expect to support, someone in future will be useful. For example if you are maintaining a vulnerable person, or paying fees for school.
Provides guidance on health issues
A Statement, or Letter, of Wishes gives you a say in the future care and health treatment you receive.
You may want to help your attorneys by giving them directions as to when you do and do not want serious medical treatment. You may have very specific views about life-sustaining treatment in the event you are seriously ill. Or if you were in the end stages of life you may wish to tell them about invasive treatments you would not want. Some people wish to make these instructions legally binding. this would be done in an “Advance Decision” document. But if you want to simply make it easier for your loved ones, you can write guidance instead. Make decisions less difficult for your Attorneys by leaving them some directions. It is hard to make those choices for your loved ones, and by leaving them your directions it will ease that burden for them.
General guidance about personal care
You can also provide your Attorneys with your thoughts about the type of care you’d like. This could be as simple as ensuring your hair is cut and dried every week by a hairdresser! Or it could be directions that you want to be cared for at home, rather than in a home. May you would like to ensure you go to visit your favourite places / go to the pub for a pint. We have all sorts of examples of wishes our clients have included in a Letter of Wishes. Our favourite is a guy who wants a virtual reality headset if he has to go and live in a residential home!
Business owners
For some business owners, it is really important to make sure their Attorneys know what needs to happen in their business. Does it carry on? Does it not? Who needs to be informed? Who shoudl they consult? What are the aims if the business has to pause for a while? This coudl be critical if you aren’t able to act for a period of time. the continuation of your business could be at risk without some guidance. And where better than in a Letter of Wishes that accompanies the document that gives them authority?
Why bother
Well, the answer is simple. Do you want a say in these matters? Do you not want to make life as easy as possible for your loved ones? If the answer is yes – then a letter written by you can go a long way.
Why seek our advice on it?
As independent advisors we are duty bound to ensure a person making their Will or Power of Attorney has the capacity to do so. And they are not being coerced into the actions being taken. Our notes taken at the time help corroborate that evidence. Any disputes in the future could be saved by the fact that you have had independent advice and help. And helping you decide on which Letter of Wishes is most appropriate for your needs is all part of our service.
Does it cost you any more money?
No – all our Letters of Wishes are included in the price of your Will/Powers of Attorney.
For more information on making your Will and Powers of Attorney, call us for a friendly chat on 01524 571032. Or ask for more information via our website HERE