Are Free Wills Really Free

When someone offers to prepare a “free” Will, it is a tempting proposition. But are free Wills really free?

A recent Sydney Morning Herald article raised this very question.

The story involved a woman who prepared a Will through NSW Trustee & Guardian (TAG). While the Will itself cost nothing to make, it appointed a government body to act as her executor after her death. When she died, TAG charged a commission reported to be about $56,000, significantly reducing her family’s inheritance. While the commission had been disclosed to the Will-maker, it came as quite a shock to the family after her death.

This example highlights an important point: when preparing a Will, the cost of its preparation is only one part of the overall picture.

If this lady had appointed a family member as executor, and that executor had sought the assistance of an estate lawyer to help administer the estate, the likely fees may have been less than a quarter of the amount actually incurred. Not only could that represent a significant financial saving, but the choice of lawyer and control of the process would remain with the family rather than a government body or institution.

One of the most important decisions in any Will is choosing who will act as executor. The executor is responsible for obtaining a Grant of Probate (if required), collecting the assets of the estate, paying any debts and distributing the estate according to the Will.

There are occasions when appointing a government body as executor is appropriate, but this should be carefully considered in the context of all available options. Appointing a government body to save the cost of preparing the Will may also mean the Will-maker misses the opportunity to receive impartial advice about their executor choice.

A modest fee for proper advice today may save your family significant cost and complexity later.