- Date : 24/05/2023
- Read: 3 mins
Warren Buffett is never short of advice, even when it comes to making a will
-
Will making for Warren Buffett is a collaborative effort
-
In India, estate planning is a private affair, often revealed after a death
-
These are Warren Buffett tips we can adopt while making a will
Ace investor Warren Buffett considers inheritance planning as a collaborative effort. He claims to be fully transparent about his inheritance planning with his children. Unfortunately, this will-making process is rarely followed in India. In India, wills are secretive and are often disclosed after the person writing it has passed away. Buffett goes on to term this practice a mistake.
Also Read: Estate planning: 10 things to do before you die
Warren Buffett and Inheritance
Warren Buffett believes in involving the children and other beneficiaries in the estate planning exercise. He believes that this eliminates unrealistic expectations from the minds of the beneficiaries. It can also reduce the possibility of disputes, he notes. In addition, if the beneficiaries are informed of what is in store for them in the will, they can plan their future more informedly.
He also believes that the will must be a “live” document. Buffett revises his will every 5-6 years. He keeps his estate planning lawyer in the loop so that he can inform Buffett of the legal amendments and their implications on the will. Such revisions must also consider the changes in the lives of the beneficiaries. The recent successes of one beneficiary or the incapacitation of another due to injury or other misfortune must reflect in the revisions made in the will.
Also Read: Making your will: Should you give each of your children an equal inheritance?
How to Make Wills?
After considering Warren Buffett’s suggestions, making wills can be given a fresh perspective. The complexity of making a will depends on the assets owned by the person. If the assets can be easily valued and are divisible, dividing them among the beneficiaries can be a simple process. In such cases, the will can be written by hand or check how to make a will online. If the person's estate requires professional attention, a lawyer's services can be sought to prepare the will. Banks and financial institutions offer estate-planning services through their tie-ups with law firms.
Making a Will in India
In India, one of the main will-making precautions is keeping it private. People believe involving the beneficiaries can lead to undue influence and disputes. Moreover, it can disrupt the family's harmony, which is highly valued in Indian society. At the same time, not making a will is not advisable as it can lead to property disputes, claims and counterclaims. In any case, you must remember that at least two witnesses must sign the will.
While making a will, it is important to second guess the will's impact on beneficiaries. Accordingly, you can decide to go “the Buffett way” or keep it a closely guarded secret instead.
Disclaimer: This article is intended for general information purposes only and should not be construed as investment or legal advice. You should separately obtain independent advice when making decisions in these areas.
-
Will making for Warren Buffett is a collaborative effort
-
In India, estate planning is a private affair, often revealed after a death
-
These are Warren Buffett tips we can adopt while making a will
Ace investor Warren Buffett considers inheritance planning as a collaborative effort. He claims to be fully transparent about his inheritance planning with his children. Unfortunately, this will-making process is rarely followed in India. In India, wills are secretive and are often disclosed after the person writing it has passed away. Buffett goes on to term this practice a mistake.
Also Read: Estate planning: 10 things to do before you die
Warren Buffett and Inheritance
Warren Buffett believes in involving the children and other beneficiaries in the estate planning exercise. He believes that this eliminates unrealistic expectations from the minds of the beneficiaries. It can also reduce the possibility of disputes, he notes. In addition, if the beneficiaries are informed of what is in store for them in the will, they can plan their future more informedly.
He also believes that the will must be a “live” document. Buffett revises his will every 5-6 years. He keeps his estate planning lawyer in the loop so that he can inform Buffett of the legal amendments and their implications on the will. Such revisions must also consider the changes in the lives of the beneficiaries. The recent successes of one beneficiary or the incapacitation of another due to injury or other misfortune must reflect in the revisions made in the will.
Also Read: Making your will: Should you give each of your children an equal inheritance?
How to Make Wills?
After considering Warren Buffett’s suggestions, making wills can be given a fresh perspective. The complexity of making a will depends on the assets owned by the person. If the assets can be easily valued and are divisible, dividing them among the beneficiaries can be a simple process. In such cases, the will can be written by hand or check how to make a will online. If the person's estate requires professional attention, a lawyer's services can be sought to prepare the will. Banks and financial institutions offer estate-planning services through their tie-ups with law firms.
Making a Will in India
In India, one of the main will-making precautions is keeping it private. People believe involving the beneficiaries can lead to undue influence and disputes. Moreover, it can disrupt the family's harmony, which is highly valued in Indian society. At the same time, not making a will is not advisable as it can lead to property disputes, claims and counterclaims. In any case, you must remember that at least two witnesses must sign the will.
While making a will, it is important to second guess the will's impact on beneficiaries. Accordingly, you can decide to go “the Buffett way” or keep it a closely guarded secret instead.
Disclaimer: This article is intended for general information purposes only and should not be construed as investment or legal advice. You should separately obtain independent advice when making decisions in these areas.
