A will is a document that sets out a testator's (dead person) wishes about the distribution of their estate (this does not necessarily mean you have a mansion with a pool house). If you die without a will ("intestate") the Estate Administration Act creates a will for you to remedy the situation. This is a pre-determination of who will be the beneficiary of your estate.
If you die intestate and your family members cannot agree on who should administer your estate, this could lead to a legal battle that will be exponentially more expensive than the cost of a will. This is similar to dealing with a problem, instead of preventing one. This situation becomes even worse if the battle is over who should become the guardian of the children.
You can avoid some of the taxes on your estate with simple planning. For example, any property owned as a "joint tenant" with someone else will automatically be transferred completely to that other person upon your death, without probate/tax consequences. RRSPs and Life insurance are also investments that pass to a beneficiary outside of your will and therefore are not subject to estate taxes.
For more information about this and other wills and estates related issues please give us a call or email.