As we journey through life, it's essential to take proactive steps in managing our finances, and that includes planning for the future transfer of our assets and safeguarding our legacy.

So, why should you, as a senior citizen, make writing a Will or creating a Trust a top priority?

Why Making A Will Is So Important For Seniors

Let's explore the key reasons behind this important step.

‍

Control & Clarity

By crafting a Will or establishing a Trust, you can maintain control over the distribution of your assets. This ensures that your wishes are carried out and your intentions are made clear for your loved ones.

‍

Conflict Resolution

A well-drafted estate plan can minimise disputes among your family members, promoting harmony and preserving relationships even after your passing.

‍

Asset Protection

Estate planning allows you to protect your assets from unnecessary taxation and loss, ensuring that your wealth is preserved for future generations.

‍

Beneficiary Protection

By creating a Trust, you can provide ongoing support and financial management for your loved ones, especially those with special needs or circumstances.

‍

Probate Avoidance

Estate planning can help you avoid lengthy and expensive probate proceedings, ensuring that your assets are distributed efficiently and privately.

What Happens If You Pass Away Without A Will

In contrast, here’s what could happen if you pass away without a Will.

‍

Your Assets Could Lie Unclaimed In Your Account

In India, there is a significant amount of wealth that’s lost during the transfer of assets due to a lack of, or inadequate, estate planning. Shockingly, assets worth up to Rs 1.5 lakh crore are lying unclaimed because families are not even aware of their existence.

‍

Your Heirs Could Lose Money In Technicalities

A substantial portion of Indian wealth is lost due to legal disputes, tax inefficiencies, and the absence of proper documentation. These losses can greatly impact the financial well-being of your Beneficiaries. However, by creating a Will or establishing a Trust, you can protect your assets from potential loss during transmission.

‍

Your Heirs Could Lose A Great Deal of Time, Money & Effort In Inheritance Disputes

Inheritance disputes are unfortunately common in India, and are mostly the result of not having a clear estate plan. These disputes can lead to prolonged legal battles, strained family relationships, and significant financial losses.

Reports show that Indian courts are burdened with a significant number of cases related to property disputes and inheritance issues, accounting for as high as 76% of all court cases. Resolving such disputes can take years and drain the emotional and financial resources of the parties involved.

By having a legally valid Will or Trust in place, you can minimise the likelihood of such disputes. Clearly outlining your intentions and wishes in a comprehensive estate plan reduces ambiguity and provides a roadmap for the distribution of assets. This promotes family harmony and reduces the risk of costly legal battles.

The Bottom Line

The statistics surrounding asset loss, inheritance disputes, and the prevalence of estate planning in India underscore the importance of estate planning for senior citizens.

At Yellow, we can give you professional guidance via our team of estate planners, who are experienced in Indian estate laws and have 50+ years of experience between them. Our experts have already protected more than Rs 45,000 crore worth of assets for Indian families. Get started now on www.getyellow.in.