Common Clauses in Irrevocable Wills

Explore practical examples of common clauses found in irrevocable wills.
By Jamie

Introduction to Common Clauses in Irrevocable Wills

Irrevocable wills are legal documents that cannot be altered or revoked once executed, providing a clear directive for the distribution of assets upon a person’s death. Understanding common clauses in these wills is crucial for both testators and beneficiaries. Below are three diverse examples of common clauses that you might find in an irrevocable will, each demonstrating its purpose and context.

1. Distribution of Assets Clause

This clause outlines how the testator’s assets will be distributed among beneficiaries. It is essential for ensuring that the testator’s wishes are honored after their passing.

In this example, the testator specifies that their estate will be divided among their children and a charitable organization. This clause helps prevent disputes among beneficiaries by clearly stating the distribution plan.

Example:
“I, [Testator’s Name], direct that upon my death, my estate shall be distributed as follows:

  • 50% to my children, [Child 1’s Name] and [Child 2’s Name], to be divided equally between them.
  • 25% to [Charity Name], a non-profit organization dedicated to [Charity’s Purpose].
  • 25% to my sister, [Sister’s Name].”

Notes: This clause can vary based on personal preferences and relationships. It is vital to keep the language clear to avoid ambiguity.

2. Guardian Appointment Clause

This clause is particularly relevant for individuals with minor children. It designates a guardian who will be responsible for the care of the children if the testator passes away.

In this case, the testator appoints a specific individual as the guardian, ensuring that their children are cared for by someone they trust. This clause underscores the testator’s wishes regarding the upbringing of their children.

Example:
“In the event of my death, I hereby appoint [Guardian’s Name] as the guardian of my minor children, [Child 1’s Name] and [Child 2’s Name]. If [Guardian’s Name] is unable or unwilling to serve, I appoint [Alternate Guardian’s Name] as the alternate guardian.”

Notes: It is advisable to discuss this decision with the appointed guardian beforehand to ensure they are willing to accept the responsibility.

3. Trust Creation Clause

This clause establishes a trust within the will, allowing for the management and distribution of assets over time, rather than in a lump sum. It is particularly useful for beneficiaries who may not be financially responsible or are minors.

Here, the testator creates a trust for their children, specifying how the funds will be allocated for their education and living expenses until they reach a certain age.

Example:
“I hereby create a trust for the benefit of my children, [Child 1’s Name] and [Child 2’s Name]. The trustee, [Trustee’s Name], shall manage the trust until my youngest child reaches the age of 25. During this time, the trustee may use the income and principal of the trust for the following purposes:

  • Educational expenses, including tuition and books.
  • Basic living expenses, including housing and healthcare.
  • Upon reaching the age of 25, any remaining funds shall be distributed equally between [Child 1’s Name] and [Child 2’s Name].”

Notes: When creating a trust, it is crucial to appoint a trustworthy and financially savvy trustee who can make sound decisions regarding the management of the trust assets.