Legal jargon buster

Beneficiary A person, or organisation, to whom you leave a gift in your Will.

Bequest A gift in your Will to a person or organisation. There are different types of gifts – pecuniary bequest, residuary bequest, specific bequest. See later in this list for further details.

Codicil A document that amends your Will.

Conditional legacy A legacy that is conditional upon a particular event happening.for instance: “To my son, if he should become a doctor...”

Confirmation A document issued by the court confirming both the validity of a Will and the executor’s right to administer the estate.

Demonstrative legacy Pecuniary legacy payable out of a specific fund.

Estate Deceased’s possessions, property and money. Debts and gifts are paid out of the estate.

Executor Person(s) appointed by you (if you leave a Will) or appointed by the court (if you don’t leave a Will) to administer your estate. An executor is responsible for gathering all of the assets in the estate, paying any debts due by the deceased, and distributing the proceeds to the relevant beneficiaries.

Guardian Named person(s) in

your Will who will be responsible for your children until they become 16 in the event they are orphaned.

Inheritance tax (IHT) Amount paid when you die on the proportion of your estate over the tax threshold (which varies every tax year). Gifts to charity are free of IHT. Visit hmrc.gov.uk/ cto/iht.htm to find the current inheritance tax rates.

Intestate Person One who dies with no Will. Certain relatives can apply for your estate. If you have none, your money will go to the Crown.

Issue Your children, their children and so on down the family tree.

Joint property A property which is owned by two or

more people and contains a “survivorship” clause. This clause leaves the property to the remaining owners without requiring confirmation.

Legacy Gift to a person or organisation.

Life interest Granting a right, often under a trust, to someone which lasts only for the lifetime of the individual who benefits by it.

Mirror Will One containing almost identical terms to yours. Usually used by spouses or partners where the beneficiaries are largely the same.

Pecuniary bequest A fixed sum

Residue Remainder of your estate after other gifts are made and debts are cleared.

Residuary bequest A gift made from the residue. It can be a share (percentage) of the remainder, or all of the remainder

Testator The person who has made a Will.

Trust A written arrangement whereby an appointed trustee is given money or assets to hold and manage for the benefit of those defined in the deed or Will that created the trust.

Trustee Individuals or an organisation named in a trust deed to take responsibility for the trust assets and manage them.

Will A list of instructions telling your executors what to do with your estate when you die and, if relevant, appointing guardians for your children.