Will and Estate Planning Without Children

Estate planning discussions often focus on providing for children, but that’s not everyone’s reality. Many Ontarians are single or partnered without children and their estate planning needs are equally important. Whether your beneficiaries include siblings, friends, or charities, having a thoughtful and personalized plan ensures your estate reflects your intentions and avoids unnecessary complications.

Some people assume that not having children makes estate planning simpler. In some ways it can, but it also raises unique questions: Who will act as your executor? Who will inherit your assets? What if your chosen beneficiaries pass away before you? And how can you minimize probate fees and ensure your legacy is meaningful?

Without a Will, your estate will be distributed according to Ontario’s intestacy laws, which prioritize spouses and blood relatives in a specific order. If you haven’t named your preferred beneficiaries, your estate could be divided among distant relatives or even end up with the government.

Who Might You Leave Your Estate To?

Your estate plan is an opportunity to reflect on the relationships and values that matter most to you. Here are a few common paths:

• Spouse or Partner: A natural choice for many. Many couples hold real estate or bank accounts jointly, which can allow assets to pass outside the estate and avoid probate.

• Siblings, Nieces, and Nephews: You might want to support the next generation of your extended family.

• Close Friends or Caregivers: Trusted individuals who have been part of your life can be included in your Will.

• Charities and Foundations: Many people choose to leave part of their estate to causes they care about. If you're interested in charitable giving, we explore this topic more fully in our recent article, Charitable Giving Through Your Estate.

Including Contingency Plans: Gift-Over Clauses

One estate planning tool that becomes particularly important when you don’t have children is the gift-over clause. This clause names alternate beneficiaries in case a primary beneficiary predeceases you. For example, you might leave your estate to a sibling, but if they pass away first, it could then go to a niece, close friend, or a charity.

Without a gift-over clause, assets intended for a specific person could instead fall into your residuary estate or be distributed according to intestacy rules. For peace of mind, it's best to build in these contingencies from the start.

Trusts: More Flexibility and Control

Trusts are also a powerful tool, especially when you want to tailor how your estate is managed or distributed. Family Trusts are useful for supporting family members gradually or under specific conditions. Charitable Trusts allow for structured giving to causes that reflect your values, potentially with tax advantages.

A trust can help ensure that your estate is administered thoughtfully and in line with your priorities, even after you’re gone.

Tax and Probate Considerations in Ontario

Estate planning in Ontario involves both tax implications and estate administration tax (commonly called probate tax). Transfers to a spouse are generally tax-deferred for income tax purposes and may avoid probate if assets are held jointly or if beneficiary designations are in place. The benefit of transfers between spouses also includes access to certain tax rollovers and planning strategies unavailable for gifts to others.

Gifts to siblings, friends, or adult children may trigger capital gains tax on certain assets like real estate or non-registered investments. Probate tax applies to assets that pass through the estate, regardless of who inherits them. Assets that pass outside the estate, such as those held jointly with right of survivorship or those with named beneficiaries, may avoid probate. If part of your estate is going to a registered charity, there may be tax benefits that reduce the overall tax burden on your estate.

Choosing an Executor

Choosing an executor, the person responsible for carrying out your wishes, can be more complicated when you don’t have adult children. But there are plenty of options including a trusted sibling, niece, nephew, or close friend. You also have the option to appoint a professional such as an Estate Lawyer as your executor. Your executor should be someone organized and trustworthy. For more considerations for choosing the right person, read our article on key considerations for choosing an executor.

The absence of a traditional “next generation” means the choices you make now will directly shape your legacy and ensure your wishes are respected. A well-crafted estate plan can give you peace of mind, protect your loved ones, and support the causes or people that matter most to you. At E is For Estates we can help make sure every detail of your Estate Plan aligns with your goals.

This article is intended for informational purposes only. For personalized advice tailored to your specific circumstance, please reach out to the E is for Estates team.

Erin L. Watson, B.A., JD

Lawyer & Notary Public

E is for Estates