Step-by-Step Guide to Creating Your Will

DISCLAIMER

This information is intended for business owners in Canada and serves as general guidance only. Always consult with a qualified advisor before making any legal decision.

Introduction to Wills

Welcome to our step-by-step guide to creating your will. This is part one of The Ultimate Guide to Estate Planning, a multi-part series exploring the fundamentals of estate planning in British Columbia. Over the next few months, we'll be breaking down the most important components of estate planning, turning complex legal language into simple, actionable advice that all B.C. residents can understand.

To kick things off, we'll be looking at what is probably the most essential document in any proper estate plan: the will.

What is a Will?

A will is a written, legal document, either paper or digital, that spells out exactly where you want your possessions to go after you're gone, who will assume guardianship of your children, and more. It is one of the most important estate planning documents. Think of it as your last gift to your loved ones — a clear set of instructions that ensures they can carry out your final wishes, and that they'll be taken care of for many years to come.

When Should I Create My Will?

Most people create their first will in their twenties, after they acquired one or more large assets, got married, or had their first child.

That said, if you're a legal adult and you don't have a will, now is a good time to create your own will. Here are some other circumstances that often nudge people to create or update their will:

You recently got divorced or went through separation with a common-law partner
You recently acquired one or more family heirlooms
You recently started a business or opened an investment account

Creating a will is the responsible choice, regardless of your circumstances. It can seem daunting to create a will, and it's certainly not very fun to think deeply about your demise. But you and your loved ones will be all the better for it.

How to Create a Will

It's important to keep several factors in mind when creating your will. The following is a simple step-by-step guide to help you create a strong, lasting, and legal will.

Step 1: Choose the Type of Will

Every person is different, so, naturally, so is every will. Some are short, some are long; some are written by one person, and some are written by an entire team of lawyers.

Depending on your needs, there are three types of wills to choose from: handwritten wills (aka holographic wills), DIY will kits, and lawyer-drafted wills.

Handwritten wills, or holographic wills, are exactly what they sound like: your will, written in your own handwriting, on physical paper. It is the only type of will that does not require a witness.

Broadly speaking, a handwritten will is a good option if:

You can write in a way that clearly states the legal terms of your will, without leaving anything up for debate
You can't have someone witness your will
You can't afford or access any other option

DIY will kits are essentially plug-and-play printed templates that you purchase to make creating a will as quick and easy as possible. While they are generally the most outdated and therefore least popular method of drafting a will, DIY will kits, in theory, make drafting a will as easy as filling in the blanks, getting it properly signed and witnessed, and then it's done.

Broadly speaking, a DIY will kit is a good option if:

You don't have a complicated or large estate
You want to spend as little as possible on creating your will
You can't access an online wills service

Lawyer-drafted wills are for those who need the highest level of support when creating a will. Although it's the most expensive option, the money spent can be well worth it, as an estate attorney can help you overcome any complex legal disputes, minimize estate taxes, and more.

Broadly speaking, a lawyer-drafted will is a good option if:

You have a complex estate that requires a lot of legal advice
You're willing to spend more than $1,400 on creating your will
You want your lawyer to help with moving your will through the court system after you pass away

Step 2: Write a Title

If you've chosen to write your own will, don't forget this important step — otherwise, after you pass away, it's possible that there will be some legal dispute as to whether or not the document is even considered a legally valid will.

At the top of the document, simply indicate that it's your “Last Will” — or, if you're old school, “Last Will and Testament.” Also, be sure to include your full legal name and any other legal names you've used in the past.

Lastly, if you have previously written a will, it's crucial to specify in your new will that it supersedes all previous versions.

Step 3. Choose Your Executors

An executor is a person named in your will who is charged with executing the terms of your will after you pass away. This includes (but is not limited to) taking care of your property, paying bills and taxes, and ensuring your assets are properly handed over to your beneficiaries.

Note that in most cases, the two executors should not be granted the power to act jointly. This can potentially slow down the estate distribution and lead to conflict.

In general, it's best to have a primary executor and then a secondary executor as an alternative in the event that the primary is unable or unwilling to act. Most couples will appoint one another as executor and name a child, sibling, or family member who is a trustworthy person, of sound mind, and who has good judgment as the backup.

Being an executor carries a lot of responsibility, so make sure your executors are aware that they've been chosen and, most importantly, happy with it. Your will was designed to prevent chaos after your death, not cause it.

Step 4: Name a Guardian For Any Minors or Pets

After you and your spouse pass away, whoever you name as guardian will be responsible for the physical custody, welfare and upbringing of your minor children and/or pets. It's easy to see how appointing a guardian is among the most important decisions you'll make when creating your will — without a properly chosen guardian, the ones you love most may face an uncertain, unstable future.

Ultimately, appointing a guardian is a very personal one that should be discussed carefully with your spouse and/or loved ones, but generally speaking, you should be looking for an adult who is trustworthy, responsible, and has the best interests of your children and/or pets at heart.

Lastly, to add more layers of certainty to your will, it's recommended to select one or even two backup guardians. That way, if your first choice refuses the responsibility, your children won't be left to fend for themselves after you pass away.

Step 5: Select Your Beneficiaries

The entities you choose to inherit your assets after you pass away are called beneficiaries. Beneficiaries can be people (for example, your spouse, children, close friends, and so on), or organizations, such as charities or educational institutions.

Naming beneficiaries ensures that your assets are distributed according to your wishes, rather than being determined by the courts. Additionally, naming beneficiaries can help minimize squabbling among family members or other potential heirs over your estate.

Step 6: Divide Your Assets and Designate Any Specific Gifts

This is often the most time-consuming part of creating your will, yet is arguably the most important. You'll need to sit down – either alone with your spouse, or with an estate lawyer – and make a comprehensive list of everything you own and all of your personal belongings. Then you'll need to decide exactly where everything will go after you pass away.

Like many other aspects of creating a will, choosing where or to whom your estate goes is a highly personal decision and must be made very carefully. Just try to be as specific as possible about who gets what.

For example, let's say you write in your will that all of your children, upon your death, get an equal share of your house and everything in it. OK, great – but which child gets the car in the garage? Which one gets the antique furniture? This kind of vague language will only cause chaos, confusion, and squabbling after your death. Show respect for your beneficiaries by leaving no room for debate as to who gets what.

Another thing to consider is your digital assets. What happens to your social media? What happens to your login credentials to all of your websites? Be sure to arrange for this information to be handed over to the right people, so that they can access it after your death if necessary.

Step 7: List Any Funeral and Burial wishes

Including burial and funeral wishes in your will ensures that your final farewell aligns with your personal values and preferences, avoids conflicts among loved ones, makes arrangements easier, and reduces stress for your family during a difficult time.

How and when you are buried is completely up to you — just try to be as specific as you can about it.

Step 8: Get Your Will Properly Signed and Witnessed

If your will isn't signed properly by you, it's not valid — full stop. Your signature is the evidence that tells the courts, “this is my will and it has my approval, please enact it upon my death.” Not only does signing your will validate it, but it also can help to streamline the probate process and minimize disputes among your beneficiaries.

There are two ways to sign a will. The traditional way is to sign it with ink on physical paper. The second is to sign it digitally, which is a unique perk of living in British Columbia; no other province accepts digitally signed and witnessed wills.

Your signature must be witnessed by two people. In British Columbia, there are only two legal requirements for witnesses: being a legal adult (16 years old in B.C.) and being of sound mental capacity. All wills must be properly witnessed either in-person or digitally; the only exception is hand-written wills, which do not require a witness.

Step 9: Store Your Will in a Safe Spot

Now that your will has been signed and sealed, you'll need to keep it somewhere safe, whether that's in a physical location or stored in an online file.

Regardless of where you decide to store your will, make sure all stakeholders know where it's located. Executors, beneficiaries, guardians, lawyers, and family members — they all should know exactly where to find your will and, if password-protected or padlocked, how to access it.

Step 10: Keep Your Will Updated

Lastly, remember to regularly update your will. As a general guideline, it's recommended to review and make any necessary updates to your will every 6-12 months. It's likely that it will need to be updated after major life events, such as marriage, divorce, the birth of a child, death of a beneficiary, significant purchase or inheritance, etc.

Summary - Steps to Creating a Will

Step 1: Choose the type of will
Step 2: Write a title
Step 3. Choose your executors
Step 4: Name a guardian for any minors or pets
Step 5: Select your beneficiaries
Step 6: Divide your assets and designate any specific gifts
Step 7. List any funeral and burial wishes
Step 8: Get your will properly signed and witnessed
Step 9: Store your will in a safe spot

Frequently Asked Questions About Wills

Do I need a lawyer to prepare a will?

If you live in British Columbia, you are not legally required to seek the assistance of a lawyer or have one present when creating your will. Lawyers can provide valuable support for individuals with large or complex estates, but the process of creating a will can be simple enough for many people to do on their own.

Does where I live affect my will?

No matter where you live (or pass away) in Canada, your will is valid as long as its provisions don't contradict the laws of your home province. For example, let's say you write your will in one province, then one year later you relocate to another province. There is some nuance to this, but generally speaking, your will — provided it's been properly drafted, signed, and witnessed — will be honored in the courts. The same story applies if you drafted your will in one province but passed away in another.

What happens if I die without a will?

If you pass away without a will, you become intestate, meaning that because you haven't left any instructions as to how you want your assets to be distributed, the legal system takes over and makes the decision on its own terms.

Additionally, you may be leaving behind a big mess for your family, giving a tough job to a loved one who doesn't want it, and failing to establish guardianship over your children or pets.

Can I digitally sign and store my will?

In British Columbia, residents have access to state-of-the-art online tools for creating a will. The entire process – signing, witnessing, and storing – can be done digitally through online services. Despite this convenience, it's always advisable to have a physical copy as a backup. You can never be too careful when planning for your final arrangements.