BC Estate Planning Guide
An estate plan is only as strong as its execution. In British Columbia, small mistakes in how documents are drafted or signed can completely invalidate your wishes, freeze assets, or trigger unexpected tax burdens for your family.
Here are the three critical mistakes to avoid when getting your estate planning documents finalized—and why proper execution matters.
1. Signing Your Documents Ahead of Time
It can be tempting to fill out and sign your documents at home before your appointment, but do not sign them in advance.
In-Person Requirement: A Notary or lawyer must witness your signature in their physical presence to verify your identity and confirm that you are executing the document voluntarily and with full capacity.
Legal Invalidation: If a document is signed prior to the meeting, the Notary cannot legally validate the signature, requiring the document to be re-printed and signed again.
2. Leaving Blank Spaces in the Body of the Document
Before any document is notarized or witnessed, every field, date, and name must be fully completed.
Preventing Alteration: Leaving blank lines creates a risk where unauthorized third parties could insert terms or names after the fact.
Notarial Duty: A Notary is legally prohibited from executing or notarizing a document containing blank sections. Ensure all information is verified prior to your execution appointment.
3. Misunderstanding Witness and Notary Rules for Wills
Wills, Enduring Powers of Attorney, and Representation Agreements each have specific statutory execution requirements under BC law.
Two Independent Witnesses Required: Under BC’s Wills, Estates and Succession Act (WESA), a Will requires two independent witnesses present at the same time—it does not simply require a single notary stamp.
Beneficiaries Cannot Witness: A witness (or their spouse) cannot be a beneficiary under the Will. If a beneficiary acts as a witness, their gift under the Will may be rendered void.
Firm Preparation Policies: Professional offices, such as Althouse Notary, will only witness and execute Wills that they have prepared in-house to ensure the document meets strict legal standards and avoids execution errors.
Essential Estate Planning Documents in BC
To build a comprehensive estate plan, three core documents work together to protect your finances, health, and family:
Last Will and Testament: Directs how your estate assets are distributed after your death and appoints an Executor. Must be witnessed by two independent adults.
Enduring Power of Attorney: Appoints a trusted person to manage your financial and legal affairs if you become incapacitated (or require assistance) during your lifetime.
Representation Agreement: Appoints a representative to make personal care and healthcare decisions on your behalf when you are unable to do so (the standard instrument used in BC rather than a “living will”).
View our Wills & Estate Planning Services to learn more.
Estate Planning Pitfalls: Why Adding Children to Title Can Backfire
A common strategy to avoid BC’s ~1.4% probate tax is adding adult children directly onto the title of real estate as joint tenants. While this allows the property to pass outside of probate, it often triggers far more costly consequences:
Capital Gains Tax Exposure: If the home is your principal residence, it is exempt from capital gains tax. However, if you transfer a portion of title to a child who does not live there, that portion loses the principal residence exemption, triggering capital gains tax on future appreciation.
Immediate Liability: Once on title, your home becomes an asset owned by your child. If they face a divorce, bankruptcy, or personal liability lawsuit, your home could be exposed to their creditors.
Unequal Distribution: Adding only one child to title to manage the property can create unintended disinheritance of other children and frequently leads to costly estate litigation.
Always seek legal and tax advice before modifying real property titles.
Protect Your Legacy with Confidence
Executing your estate planning documents correctly ensures your wishes are honored without unnecessary legal friction or financial penalties. If you are ready to prepare or finalize your documents in Nanaimo and the surrounding communities, Contact Althouse Notary to ensure your estate plan is crafted and executed properly.
