How to set up will for 2 young adults

Hi all
My sister has a rare terminal cancer although her death isn't imminent she is planning for her end. She has two adult daughters (early 20s), one who is high functioning autistic and has a job in the entertainment industry although by contract so her employment can be sporadic. She lives at home with my sister. The other daughter works in retail and rents a small unit and is paying off her car. Both girls do not get on. The older daughter who lives at home is not interested in relationships or having children. The other sister will more than likely get married & have kids in the future.
My sister has said she will put her house in to each of their names prior to her death but hadn't thought about how this will work down the track. I've suggested my sister go and talk to an estate planner to find out what is the best way to set this up as I believe this will be a nightmare further down the years when their current situations change, and they could possibly end up in court. Do any of you have experience with this sort of setup and how she could set it up so that both young people will benefit for their needs. What if one wants to sell and the other doesn't ... etc I'd appreciate any suggestions, thank you.

 

Yes she should seek legal advice. This is a common problem - siblings not getting on etc and the will should be drafted in a way that is very flexibile to allow
- one to take the property and the other to day something else
- one to 'buy' out the other
- the house to be sold and proceeds split.

This can all be done and done in such a way that avoids stamp duty and/CGT on rearranging things. There may also be tax savings on superannuations that can be obtained by careful planning.

Beware of going to financial planners who claim to do 'estate planning' - you need someone legally qualifieid.

 

Make sure she lodges a binding death nomination on her superannuation.
Marg

 

Thanks Terry

 

Thanks Marg I will make sure she does.

 

Probably best to get some legal advice on this as a BDBN is not always appropriate. Also the appropriate beneficiariary needs to the determined.

 

Hey @Jelsa2 currently in middle of something so can't find his number but I've got a recommendation for you, pls msg me if you don't get it by tomorrow evenung
Firstly you definitely need competent legal advice e and not a financial planner, but also with the potentially messy dynamic between the 2 sisters you'll also need a practical lawyer who not only crafts something legally binding but that is drafted to best deliver the outcome/s required.

He can also discuss/recommend a trudtee/executor option that is actually pretty good value and may be worth doing in this case

 

Do you do wills too @Terry_w?

 

Yes. I have a masters degree in wills and estates. I charge $2200 for a will incorporating one or more testamentary trusts

 

One of these days I'll have to get a buy one get one free deal from you.