The residuary gift
The residue is everything that is left after all debts, taxes, administration costs and specific gifts have been paid or transferred. The residue can go to one person or distributed amongst a number of people. If there is more than one residuary beneficiary you must specify the share of the residue that each person will receive.
For example, 'I give the residue of my estate to Emma Robinson and David Blackburn in equal shares.'
Or, 'I give the residue of my estate to Hilary Johnson (75% share) and Andrew Saunders (25% share).'
Substitute residuary beneficiary
If the recipient of a specific gift dies before you, that gift will be inherited by the residuary beneficiary instead. However, if the residuary beneficiary dies before you there will be no person for the gift to pass on to.
Appointing an alterative or substitute beneficiary can avoid this problem. This is done quite simply by making the gift conditional upon the primary beneficiary surviving you by a specified period and then saying what is to happen to the gifted property if he/she does not. Such an arrangement is known as a ‘survivorship clause’. It is usual to choose 28 days as the survival period.
For example, 'I give the residue of my estate to my husband Michael Williams provided that my husband survives me by 28 days. If my husband does not survive me by 28 days, then I give the residue of my estate to my sister Jane Evans.'
The residue is everything that is left after all debts, taxes, administration costs and specific gifts have been paid or transferred. The residue can go to one person or distributed amongst a number of people. If there is more than one residuary beneficiary you must specify the share of the residue that each person will receive.
For example, 'I give the residue of my estate to Emma Robinson and David Blackburn in equal shares.'
Or, 'I give the residue of my estate to Hilary Johnson (75% share) and Andrew Saunders (25% share).'
Substitute residuary beneficiary
If the recipient of a specific gift dies before you, that gift will be inherited by the residuary beneficiary instead. However, if the residuary beneficiary dies before you there will be no person for the gift to pass on to.
Appointing an alterative or substitute beneficiary can avoid this problem. This is done quite simply by making the gift conditional upon the primary beneficiary surviving you by a specified period and then saying what is to happen to the gifted property if he/she does not. Such an arrangement is known as a ‘survivorship clause’. It is usual to choose 28 days as the survival period.
For example, 'I give the residue of my estate to my husband Michael Williams provided that my husband survives me by 28 days. If my husband does not survive me by 28 days, then I give the residue of my estate to my sister Jane Evans.'
