When it comes to estate planning, the topic of writing a will is often clouded by misconceptions and confusion. Have you ever wondered if those assumptions are true? Many people put off creating a will due to common myths, which can lead to unintended and serious consequences. In this article, we will explore these myths, compare them with the realities, and explain why creating a will is crucial for everyone, regardless of their situation.
Note: The article below applies to non-Muslim succession matters. Muslim succession matters will be governed by Syariah laws.
Myth 1: Joint property automatically passes to the surviving co-owner.
Misunderstanding:
Purchasing a property jointly means there is no need to create another will / Joint property ownership can eliminate all inheritance issues.
Truth:
In the absence of a will, property shares will not automatically pass to the surviving co-owners. The estate will be distributed according to the intestacy rules, prioritising the statutory heirs.
Myth 2: I am young and healthy, so it’s not the right time to write a will.
Sample:
Crystal was 29 years old, full or energy, and just beginning to settle into her dream career. She had always thought of wills as something only older people needed.
One day, while driving to work, she was involved in a tragic accident. The news of her passing was a heavy blow to her family and friends. Amid the grief and shock, the reality of her untimely death began to set in, and with it came the legal and financial complexities of her estate.
Car Loan: Her dad, who had never been involved in her financial matters, was left to handle the loan repayment as he was the guarantor for the car loan.
Home: Crystal’s condo was still under mortgage. Crystal’s parents lived with her in the condo, but with Crystal’s passing, there was confusion over the ownership of the property and whether they could continue living there.
Charitable Wishes: Crystal had always been involved in charitable activities and wanted to leave a portion of her estate to causes she cared about. Without a will, these intentions went unfulfilled, and the potential for her estate to benefit her chosen charities was lost.
Key takeaways: This is a reminder that it’s never too early to plan for the future. Writing a will isn’t about expecting the worst; it’s about being prepared for anything. It’s a way to protect the people you care about and to ensure your wishes are respected, no matter what life throws your way.
Myth 3: If you have advanced cancer or a serious illness, you can no longer make a will.
Misunderstanding:
Believing that once diagnosed with cancer or a serious illness, one cannot make a will.
Truth:
Illness itself does not affect the validity of a will. The key factor is whether the person has the capacity to make a will (Testamentary Capacity). The Federal Court in the case of Chin Jhin Thien & Anor v Chin Huat Yean & Anor 2020 opined that Testamentary Capacity refers to the ability of a person to make a will. A testator is said to have testamentary capacity when they are fully conscious, have a sound mind, understand, and approve the content of the will. In other words, even if a testator is physically ill, it does not, on its own, deprive them of their ability and capacity to execute a will. The testator must have sufficient mental ability to understand that they are making a will, the effect of making the will, and they must understand the general nature and extent of their property.
Myth 4: Illegitimate children cannot inherit assets.
Misunderstanding:
It is commonly believed that only children born within a legal marriage have the right to inherit, while illegitimate children are not entitled to inherit property.
Truth:
In the absence of a will, illegitimate children have the right to inherit an estate. In January 2023, the Federal Court issued a historic ruling in the case of Tan Kah Fatt & Anor v Tan Ying, determining that, in the absence of a will, illegitimate children have the right to inherit assets under the Distribution Act of 1958.
Myth 5: Debts will automatically vanish when a person passes away.
Misunderstanding:
Upon my passing, any money left behind will be given to my beneficiaries, not used to pay off creditors.
Truth:
In Malaysia, when a person passes away, their debts do not transfer to their heirs personally. Instead, the deceased’s assets, collectively referred to as their ‘estate’, are used to settle any outstanding debts before any distribution to beneficiaries.
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关于遗嘱的常见误解
在遗产规划中，人们常被误解和困惑所笼罩。你是否曾想过，是否那些假设并不真实？许多人因为常见的误解而推迟立遗嘱，这可能导致意想不到的严重后果。在本文中，我们将探讨这些误解，与实际情况进行比较，并解释为什么无论其处境如何，每个人都需要立遗嘱。
注意：以下文章适用于非穆斯林的继承事务。穆斯林的继承事务将受伊斯兰教法的管辖。
迷思1：联名房产会自动传递给幸存的联名人。
误解：
联名购买房产意味着不需要再立遗嘱/联名房产所有权可以消除所有继承问题。
真相：
在没有遗嘱的情况下，财产份额不会自动传递给幸存的联名人。遗产将根据无遗嘱继承的规则进行分配，优先考虑法定继承人。
迷思2：我年轻健康，所以现在不是写遗嘱的合适时机。
例子：
克里斯塔尔（Crystal）29岁，充满活力，刚刚开始在她梦想的职业中站稳脚跟。她一直认为遗嘱只是年长者需要考虑的事情。
一天，当她开车去上班时，发生了悲惨的事故。她去世的消息对她的家人和朋友来说是一个沉重的打击。在悲痛和震惊中，她突然去世的现实开始显现出来，随之而来的是她遗产的法律和财务复杂性。
车贷： 她的父亲从未涉及她的财务事务，很遗憾的，由于他是车贷的担保人，因此被迫处理贷款还款事宜。
房屋： 克里斯塔尔的公寓是未还清贷款的。克里斯塔尔的父母和她一起住在公寓里，但由于克里斯塔尔的去世，他们苦恼着关于房屋的所有权以及他们是否可以继续居住。
慈善愿望： 克里斯塔尔一直参与慈善活动，并希望将她的遗产的一部分捐赠给她关心的慈善机构。没有遗嘱，这些愿望未能实现，她的遗产也失去了惠及她所选慈善机构的机会。
关键要点： 这是一个提醒，规划未来永远不会太早。写遗嘱并不是期待最坏的情况，而是为任何情况做好准备。这是一种保护你所关心的人的方式，确保将来如何，你的意愿都能得到尊重。
迷思3：如果您患有晚期癌症或严重疾病，就无法再立遗嘱。
误解：
认为一旦被诊断患上晚期癌症或严重疾病，就无法立遗嘱。
真相：
疾病本身并不影响遗嘱的有效性。关键在于当事人是否具备立遗嘱的能力。联邦法院在Chin Jhin Thien & Anor v Chin Huat Yean 2020年的案件中指出，“Testamentary Capacity” 指的是一个人立遗嘱的能力。遗嘱人的意识必须是完全清醒、思维健全、理解并明白遗嘱的内容。换句话说，即便遗嘱人身体虚弱，这本身并不会剥夺他立遗嘱的能力和权利。遗嘱人必须具备足够的精神能力，理解他正在拟遗嘱、并且明白立遗嘱的影响。
迷思4：私生子女无法继承资产。
误解：
普遍认为只有在合法婚姻中出生的孩子才有权继承财产，而私生子女则无权继承。
真相：
在没有遗嘱的情况下，私生子女是有权继承遗产。
2023年1月，联邦法院在一起案件中作出历史性裁决，认定在没有遗嘱的情况下，私生子女根据1958年《分配法》有权继承资产。— Tan Kah Fatt & Anor v Tan Ying 2023
迷思5：债务在一个人去世后会自动消失。
误解：
我去世后，留下的任何钱都会交给我的受益人，而不是用来偿还债权人。
真相：
在马来西亚，当一个人去世时，他们的债务不会转移给继承人。相反，死者的资产统称为“遗产”，会用于清偿任何未偿还的债务，然后再分配给受益人。
