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Intestacy rules

What is Intestacy?

When someone dies, and has left a Will governing the distribution of their estate, its provisions will be implemented, so far as they are effective. However, if someone dies without making a Will, the distribution of their estate is governed by the Rules of Intestacy, as set out in the Administration of Estates Act 1925.

A common misconception held by many people is that if they die without leaving a Will, everything will pass to their spouse or civil partner. However, this is not the case, and dying without leaving a Will often leads to a situation where your friends and relatives may inherit nothing, contrary to your intentions.

What are the Intestacy rules?

If you are married/in a civil partnership, have children, and your estate is worth less than £250,000:

  • Your surviving spouse/civil partner inherits everything

If you are married/in a civil partnership, have children, and your estate is worth more than £250,00:

  • Your surviving spouse/civil partner inherits £250,000
  • The remainder of the estate is split into two shares and you spouse/civil partner takes a life interest in one half share (the right to the income, but not the capital)
  • Your children would inherit the other half share immediately and the remaining half share on the death of the surviving spouse/civil partner

If you are married/in a civil partnership, have no children, but have parents/brothers/sisters/grandparents/uncles/aunts:

  • If your estate is worth less than £450,000, your spouse/civil partner inherits everything
  • If your estate is worth more than £450,000, you spouse/civil partner inherits £450,000 plus a half share of the balance
  • The remaining half share would pass to your other relatives in the following order of priority – parents; brother/sister; half brother/sister; grandparents; uncles/aunts

If you are not married/in a civil partnership, but you have children:

  • The estate passes to your children in equal shares. If your children pre-decease you, their share goes to their children

If you are not married/in a civil partnership and you have no children:

  • The estate will pass to your relatives in the following order of priority – parents; brothers/sisters; half brothers/sisters; grandparents; uncles/aunts
  • If a relative has died, their children will take their share

If you are not married, have no children and there are no other relatives:

  • The estate passes to the crown

This article is for information purposes only and is not legal advice. It should not be acted or relied upon and legal advice should be sought before applying any of the information in this article to any facts or circumstances.

For more information, or to discuss any issues arising from this article, please do not hesitate to contact us on +44 (0)20 8909 0400 or by email at info@millschody.com.

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