We spoke last newsletter about opportunities to make an income tax deductible donation to support the work of the Friends, but there is another way. Consider including a bequest in your will.
When considering making a bequest, it's crucial to think about your loved ones, the impact you want to make, and the specific details of your will. Key considerations include identifying beneficiaries, choosing the type of bequest, and understanding the legal implications of your bequest.
Bequest Type:
There are two main types of bequests, a pecuniary legacy or a residuary gift.
A pecuniary legacy is a gift of a sum of money and is paid prior to the calculation of the residue of the estate. Providing for a payment of a pecuniary legacy is preferable where there is a desire that a beneficiary receive a set amount irrespective of the total value of the estate.
A residuary gift is a gift of what remains after all other gifts have been met and payment of estate expenses has occurred. As the gift is not a set amount, the quantum of the gift will depend on the assets of the estate at the time the gift is to be made. This may be desirable where a person’s estate is likely to fluctuate substantially during their lifetime and there is an overarching desire that the beneficiary share in a certain proportion of their overall estate.
Estate Planning:
Consult a solicitor or legal advisor: Seek professional advice when creating or updating your will to ensure your wishes are legally binding and that your estate is well-managed.
Consider your debts and assets: List your assets (savings, properties, belongings, etc.) and debts to have a clear picture of your estate's value.
Legal Clarity:
Ensure your bequest is clearly worded to avoid misinterpretation or disputes.
Since we don't have and legal representation in the group, we cannot assure you that the following text is fit for purpose, but we propose the following text for the various options that the person may wish to consider in their will:
1. Gift of Whole Estate
I GIVE the residue of my estate to Friends of Black Hill and Morialta Inc. 88 Addison Ave Athelstone (ABN: 98 370 914 984) for its general purposes, and I DIRECT that a receipt of the authorised representative of Friends of Black Hill and Morialta Inc. shall be a sufficient discharge to my executor.
2. Gift of Portion of Estate
I GIVE (insert percentage) percent of the residue of my estate to Friends of Black Hill and Morialta Inc. 88 Addison Ave Athelstone (ABN: 98 370 914 984) for its general purposes and I DIRECT that a receipt of the authorised representative of Friends of Black Hill and Morialta inc. shall be a sufficient discharge to my executor.
3. Bequest – Cash Amount
I GIVE the sum of [insert words] [insert figures] to Friends of Black Hill and Morialta Inc. 88 Addison Ave Athelstone (ABN: 98 370 914 984) for its general purposes and I DIRECT that a receipt of the authorised representative of Friends of Black Hill and Morialta Inc. shall be a sufficient discharge to my executor.
4. Bequest – House or Other Asset
I GIVE (my interest in my house situated at [insert address]) or (my main residence at the date of my death) or (any motor vehicle owned by me at the date of my death) or (insert description of other asset) to Friends of Black Hill and Morialta Inc. 88 Addison Ave Athelstone (ABN: 98 370 914 984) for its general purposes and I DIRECT that a receipt of the authorised representative of Friends of Black Hill and Morialta Inc. shall be a sufficient discharge to my executor.
5. Specified Purposes
While the Friends prefers that gifts be able to be used for its general purposes in order to enable it to meet environmental priorities established with the Regional ecologist and Department of Environment and Water Rangers, if the person wishes their bequest to be used for a particular purpose, please incorporate the following wording into the Will to enable the Friends to make use of the bequest in the event that it is not possible to utilise some or all of the gift for the desired purpose: “…and I EXPRESS the wish without creating a trust or other legal obligation that Friends of Black Hill and Morialta Inc. use this gift for [insert nature of the use to which you wish your gift to be applied]
