Many working professionals put off estate planning. It feels complex, morbid, or expensive. But doing nothing has substantial risks for your family and assets.
What Happens if You Pass Away Without a Will in Singapore?
If you die without a will, your assets are distributed according to the Intestate Succession Act. This is a rigid legal formula. For example, if you leave a spouse and children, your assets are split 50% to your spouse and 50% to your children. Your spouse might need full access to buy or maintain your property, but the law locks away your children's share until they turn 21. Your personal wishes are ignored.
Also, your CPF savings are not covered by a will. Without a CPF Nomination, your CPF funds go to the Public Trustee, which charges administration fees to distribute them. This creates unnecessary delays and expenses for your family.
What Happens if You Lose Mental Capacity Without an LPA?
A Lasting Power of Attorney (LPA) is a legal document appointing one or more Donees to make decisions for you if you lose mental capacity.
Without an LPA, your bank accounts and assets are frozen. Your family must apply to court for a Deputyship order to manage your affairs. A court deputyship is slow, taking months, and costs $3,000 to over $10,000 in legal fees. An LPA avoids this entirely.
Your Estate Planning Checklist & Costs in Singapore
| Tool | Purpose | Estimated Cost (SGD) |
|---|---|---|
| Lasting Power of Attorney (LPA) | Appoints Donees to manage affairs upon loss of mental capacity | Application: Free (Singapore Citizens) Certification: $25 – $80 |
| A Will | Defines distribution of personal assets and HDB/private properties | Simple Will: $200 – $500 DIY templates: Free to $50 |
| CPF Nomination | Specifies beneficiaries for CPF cash balances | Free (online submission) |
| Advance Care Planning (ACP) | Documents future healthcare preferences | Free or nominal clinic fee |
LPA Form 1 details: The application fee waiver for Singapore Citizens makes it highly accessible. You only pay the certification fee to a certified medical practitioner, lawyer, or psychiatrist to witness and sign the form.
Will drafting details: While a DIY will template is cheap, having a professional draft it ensures it meets legal requirements. An improperly witnessed will is invalid, leading to legal disputes.
The S.H.I.F.T. Method Approach to Legacy Planning
Legacy planning is the Transfer (T) phase, the final step in my 5-step wealth system. You must Snapshot your net worth, Heal cash leaks, Insure against critical illnesses or disability (protecting your estate from healthcare costs), build Flow through investments, and finally structure the Transfer of wealth. Setting up your Will and LPA ensures the wealth you built is preserved and passed on exactly as you intend.
Reviewing Your Estate Plan
Begin by writing down your assets and appointing executors and donees. Complete your CPF nomination online. Next, book an appointment with a professional certificate issuer to certify your LPA. These steps require minimal time but provide immense security.
If you want to review your estate planning checklist and understand the cost of setting up a Will and LPA, I am happy to sit down for a 20-minute conversation. No pitch, no pressure.
Want to secure your Will and LPA?
20 minutes. No pitch. We will walk through your estate planning checklist and outline the steps to get your Will, LPA, and nominations in order.
Start a Conversation* All figures, percentages, and projections referenced in this article are for illustrative purposes only and are based on historical performance. Past performance is not indicative of future performance. Actual results will vary depending on individual circumstances, market conditions, and the specific products or strategies selected. This article does not constitute an offer, solicitation, or recommendation to buy or sell any financial product. Please consult a qualified adviser before making any financial decisions.