As a young professional, we understand that creating a Will may not be on your list of financial priorities. Most people in their 20s are in the wealth-creation phase of their lives, and think that making a Will is not important.

The truth, however, is that creating a Will to protect one’s growing asset portfolio is necessary, no matter what phase of life you are in. You should create your own Will as a matter of financial hygiene (you can always update it as your list of assets grows over the course of your life). But even if you don’t, you should be aware of how being an heir to someone else’s estate could impact you if they pass away intestate (without a Will). Having this conversation with your family, whether you are married or not, is both sensible and beneficial for everyone involved. Here are 4 of the most important reasons why.

1. No Will = No Control

Without a Will, succession laws based on your religion will determine the Beneficiaries, Executor, and Guardian of your parents/relatives’ estate. This may not reflect their true wishes. A Will is the only document that allows them to clearly specify which asset goes to whom, and also in what proportion. They will  have full freedom to choose a trusted Executor (the person who will be responsible for distributing the estate they leave behind) and Guardian (for minor children and pets).

2. Difficulty In Transmission Of Assets

Do you know the complete list of assets owned by your parents and how the transfer processes work? If you end up being the next of kin and they do not have a Will in place, the process of asset discovery can cost you lakhs of rupees and take years to complete, choking your personal bandwidth. A Will can help you avoid this hassle, and also ensure no assets are missed out, or lost in the transfer process.

3. Nominee ≠ Beneficiary

Even if you’ve been appointed a Nominee in your parents’, or relatives’ financial accounts, the assets may not come to you. By law, a Nominee is only a Trustee for most assets. Without a Will, the right of ownership of the asset ultimately lies with the legal heir, as defined by the applicable succession laws. This could leave you vulnerable to being displaced by someone your parents or relatives may not have intended.

4. Avoid Family Disputes

A Will will help their Beneficiaries (which could include you) avoid disputes and potentially lengthy court battles, as the wishes of the asset owner are clearly communicated.

Making a Will is the responsibility of every individual for the benefit of his or her family and an important part of sound financial planning. Help your family make their wishes clear by making a Will.

You can now help your parents or other relatives create their Will and secure their loved ones’ financial futures with Yellow.

Get started today!

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