An inventory of what a ‘wasiat’ should contain
16 Oct 2013
IN this second part of preparing a wasiat (Islamic will), we discuss the importance of listing all the assets that you have.
Taking inventory of the assets may be the key to making a will.
You may want to include the address and a brief description of the property such as type of building, its occupational use and whether it is a joint property and the like.
You should be also include information on where details or documents of the properties can be located.
You should also put in the name of your spouse/spouses in the will. Make sure these spouses are recognised by the Malaysian law.
Additionally, the names of all children, including those from previous marriage/s and legally adopted ones, should be included in the will.
It is always advisable to be specific and clear when naming beneficiaries.
You should state the person’s full name, MyKAD number as well as his or her relationship to you so your executor will know exactly who you mean.
Clarity will also help to prevent challenges to your will.
Although outstanding debts usually will be paid by our estate before your beneficiaries received their shares, you should still list them.
This is especially important if the debts are not documented.
In any case, always document your debts, even if they are from a good friend; this can be done separately and details need not be specified in the will itself.
You may want to clear up debts that you know will be a problem, or make specific provisions for payment of those debts in your will.
Some people may need to address business succession issues; if you found a business, whom do you want to take over?
This is important as many business fail after the death of the founder and it is essential that some sort of business succession plan be put in place.
This may include partnership agreements and the like.
You may want some heirs to inherit a particular asset such as that the Perdana car be inherited by your son and the Mercedes by your daughter.
You may want the piano to be given to a friend. All these should be specified in a will.
You may want to establish trusts and this is an honourable thing to do if you have allocated enough for your heirs.
There are several types of trusts which will be covered in the coming issues.
In your will, you should name an executor who will oversee the distribution of your assets in accordance with your will.
Some people choose their spouse, an adult child, a relative or a friend as the executor but you should also consider a trust company or an attorney to fulfil this duty.
Better still, get a reliable corporate trustee to be your executor, and trustee as well if necessary.
You should expect your estate to pay some kind of fees for this service even if it is a relative or friend.
If no executor is named in a will, the court will appoint one, but you should not let this happen as in many cases it takes time.
Naming a guardian in a will is also important, especially in cases where you have minors or privileged children.
In fact, the fallacy most people think that they have to have a lot of assets before doing some estate planning is true.
The moment we have minor children is the best time to name a guardian in the event both parents are not around.
In most cases, a surviving parent assumes the role of sole guardian.
However, it’s important to name a guardian for minor children in your will in case neither you nor your spouse is able or willing to act.
The guardian you choose must be of legal age and willing to assume the challenging responsibility.
Talk to the guardian-to-be ahead of time what you want him or her to do.
You may also want to name an alternative guardian, in case your first choice is unable to act at the material time.
You can name a couple as co-guardians, but that may not be advisable.
It’s possible the guardians may break up at some later date, and if so, could result in a custody battle.
On the other hand, if you do not name a guardian to care for your children, the court will appoint one, and it may not be someone you would have preferred.
Choosing a guardian should be given serious thought.
Last but not least, you need to properly sign your will.
The Wills Act 1959 requires that you place your signature at the foot or at the end of the will.
It also requires that you sign the will in the presence of two or more witnesses.
After you have constructed the will, go over it again until you are satisfied.
You may want to add other elements that may be important to you.
Then make sure it is signed and witnessed.
Some people may want to make additional copies of the will whilst others prefer not to make any copy at all.
There are pros and cons to each and the choice is yours.