Making a will is an important step, but it should not be treated as a document that can always be filed away and forgotten.

Relationships change. Families grow. Property is bought and sold. People named as executors or beneficiaries may no longer be appropriate. In some circumstances, a major life event can also affect how an existing will operates.

Reviewing your will does not necessarily mean it must be changed. The purpose is to check that it remains valid, practical and consistent with your current wishes.

Quick overview

You should consider reviewing your will when:

• you marry or remarry
• you separate or divorce
• you have or adopt a child
• a beneficiary or executor dies
• relationships with people named in the will change
• you buy or sell significant property
• you establish, acquire or sell a business
• your financial position changes substantially
• you move interstate or acquire overseas assets
• the will is old, unclear or difficult to locate

Even without a major event, it is sensible to revisit your will periodically and confirm that the people, assets and instructions it refers to are still current.

You marry or remarry

Marriage is one of the most important reasons to review a will.

In Victoria, marriage generally revokes an existing will unless the will was made in contemplation of that particular marriage. This means that a will prepared before the marriage may no longer operate as intended.

Do not assume that marrying simply adds your spouse to the arrangements already recorded. The document may need to be replaced with a new will that reflects your relationship, family responsibilities, assets and current intentions.

A review before marriage can also be appropriate, particularly where there are children from an earlier relationship, significant personal assets, a business or a blended family.

You separate or divorce

Separation and divorce affect a will differently.

Separation by itself does not automatically revoke a will. If your spouse is named as an executor or beneficiary, those provisions may continue to operate while you remain legally married.

Divorce does not generally revoke the entire will. Instead, provisions in favour of a former spouse may cease to operate, subject to the wording of the will and the applicable legal rules. This can leave the remaining document operating in a way you did not expect.

It is therefore better not to rely on automatic legal consequences. Review the document after separation and again when a divorce is finalised so that it clearly records your current wishes.

Victoria Legal Aid provides further general guidance about changing a will after marriage, separation and divorce.

Your family changes

The arrival of a child or grandchild can change who you want to benefit from your estate and how assets should be managed.

A review may need to consider:

• whether children are included as beneficiaries
• what happens if a beneficiary dies before you
• how an inheritance should be managed for a person under 18
• who you would prefer to care for minor children
• whether a testamentary trust may be appropriate
• whether children from different relationships have been addressed clearly

The same applies after adoption, the beginning of a de facto relationship or a significant change involving someone who depends on you financially.

Your will does not automatically rewrite itself when your family changes. The document should be checked to ensure that its instructions still make sense.

An executor or beneficiary is no longer appropriate

An executor is responsible for administering the estate and carrying out the instructions in the will.

Review the appointment if an executor:

• has died
• is no longer willing or able to act
• has moved overseas
• has lost capacity
• is no longer someone you consider suitable
• may face a serious conflict when administering the estate

You should also review the will if a beneficiary dies or if your relationship with someone named in the document changes substantially.

The will should explain what happens if a beneficiary dies before you. Without clear substitute arrangements, a gift may not pass in the way you intended.

Your assets or business interests change

Buying a home, selling an investment property or acquiring a business can materially change the estate that your will is intended to deal with.

McDonald Legal’s estate planning services can assist with reviewing how a will fits with current assets, family arrangements and decision-making documents.

A review may be appropriate after:

• buying or selling significant real estate
• refinancing or changing property ownership
• starting, buying or selling a business
• becoming involved in a company or trust
• receiving a substantial inheritance
• making a large gift or loan to a family member
• acquiring major investments
• a significant increase or decrease in wealth

Specific gifts require particular attention. If a will gives someone a named property or asset that you later sell, the gift may no longer operate as expected.

Business succession arrangements should also be considered alongside the will. Company shares, trust control, partnership agreements and buy-sell arrangements may require separate planning.

Check assets that may not pass under the will

A will does not necessarily control every asset connected with you.

For example, property held as joint tenants generally passes to the surviving joint owner. Superannuation and some insurance benefits may be dealt with through nominations, fund rules or trustee decisions rather than the will alone.

Victoria Legal Aid’s overview of wills and estates in Victoria explains that some jointly owned, superannuation, insurance, company and trust assets may not pass directly under a will.

When reviewing your will, also check:

• property ownership
• superannuation nominations
• life insurance nominations
• trust and company control
• jointly held accounts
• business succession documents
• powers of attorney

The aim is to ensure that the separate parts of the estate plan work together rather than contradicting one another.

You move or hold assets elsewhere

Moving interstate or overseas may justify a review, particularly if you acquire property or other assets in another jurisdiction.

Different legal rules may apply to the validity, interpretation or administration of a will. Overseas assets can also create practical and tax considerations.

A lawyer can advise whether one Australian will remains suitable or whether coordinated documents may be needed for assets held in different places.

The document is old, unclear or difficult to find

A will can become outdated even when no single major event has occurred.

Names, addresses, relationships and assets may have changed. The executor may not know where the original document is stored. Multiple amendments may also make the instructions harder to follow.

Do not write changes directly onto the signed will. A will can be amended through a properly prepared codicil, but making a new will is often clearer when several changes are required. A new will should expressly revoke earlier wills and must be signed and witnessed correctly.

It is also important to know where the original signed document is stored and ensure that the executor can locate it when required.

What to prepare for a will review

Before speaking with a lawyer, gather:

• your current will and any codicils
• a list of executors and beneficiaries
• details of your spouse, partner, children and dependants
• a summary of major assets and liabilities
• property ownership details
• business, company and trust information
• superannuation and insurance nominations
• any concerns about family relationships or future disputes

You do not need exact valuations for every asset. A clear overview can help identify which parts of the estate plan require closer attention.

Speak with McDonald Legal

A will should reflect your current circumstances, not the life you had when the document was first signed.

McDonald Legal provides advice on wills and estate planning for Melbourne clients who need to prepare a will, review an existing document or consider related planning arrangements.

To arrange a consultation, contact McDonald Legal or call (03) 9070 1107.

This article provides general information and is not legal advice. The effect of a life event on a will depends on the document, the circumstances and the law applying at the relevant time.