Do I Need a Will in Ontario? A Financial Planner's Perspective

Most Canadians know they should have a will. Far fewer actually have one — and among those who do, many haven't updated it since major life events like marriage, divorce, the birth of children, or significant changes in assets. From a financial planning perspective, dying without a current will isn't just a legal inconvenience. It can cost your estate money, delay the distribution of assets by months or years, and result in outcomes that bear no resemblance to your actual wishes.

What Happens If You Die Without a Will in Ontario

When someone dies without a will in Ontario, they die "intestate." In that case, the Succession Law Reform Act governs how your estate is distributed — and that formula may have nothing to do with what you would have wanted. The province follows a prescribed hierarchy: spouse first, then children, then other relatives. There is no provision for common-law partners under the intestate rules (unlike married spouses), no consideration for family dynamics, and no ability to reflect your individual wishes.

If minor children are involved and both parents die without a will naming a guardian, the court determines who raises your children. This is one of the most cited — and most compelling — reasons for parents to have an up-to-date will regardless of asset level.

An estate without a will also goes through a more complicated probate process. The court must appoint an estate administrator, which takes time and creates administrative costs that reduce what ultimately passes to your beneficiaries.

Why a Will Is a Financial Planning Document

Many people think of a will as a purely legal document — something you do with a lawyer and file away. In practice, it's one of the most important financial planning documents you have. A will coordinates with your beneficiary designations, your insurance policies, your RRSP and RRIF accounts, and your TFSA to determine the full picture of how wealth transfers at death.

Here's an important nuance: assets with named beneficiaries — your RRSP, RRIF, TFSA, pension, and life insurance — do not pass through your will at all. They flow directly to the named beneficiary regardless of what your will says. This means it's entirely possible to have a well-written will and still have your estate distributed in ways you didn't intend, simply because your beneficiary designations haven't been updated since your 30s.

A financial planner working in coordination with your estate lawyer can review the full picture: what's covered by your will, what bypasses your will through beneficiary designations, and whether the two are aligned.

Powers of Attorney: The Other Documents You Need

A will only takes effect at death. But what happens if you become incapacitated before you die — whether through illness, injury, or cognitive decline? In Ontario, two additional legal documents address this: the Power of Attorney for Property and the Power of Attorney for Personal Care.

A Power of Attorney for Property authorizes someone you trust to manage your financial affairs — bank accounts, investments, real estate — if you're unable to do so. Without this document, your family may need to seek a court-appointed guardian of property, a process that is expensive, slow, and public.

A Power of Attorney for Personal Care designates someone to make healthcare and personal decisions on your behalf when you cannot. This includes decisions about medical treatment, living arrangements, and end-of-life care. Without it, these decisions may fall to healthcare providers or courts rather than the people who know and love you.

These documents are not optional extras — they're essential complements to a will and equally urgent from a financial planning perspective.

How Often Should You Update Your Will?

Estate lawyers and financial planners generally recommend reviewing your will after any major life event: marriage, divorce, the birth or adoption of a child, the death of a named executor or beneficiary, a significant change in assets, or a move between provinces. At minimum, a review every five years is prudent.

Critically, a marriage in Ontario revokes a will made before that marriage unless the will was made in contemplation of that specific marriage. Many people are unaware of this — meaning a will written before a marriage may be legally invalid.

Getting your estate documents in order is one of the most considerate financial decisions you can make for the people you care about. Marc Pineault at Pineault Wealth Management works with Ontario clients to ensure that beneficiary designations, insurance coverage, and estate intentions are coordinated — and he can refer you to a qualified estate lawyer when formal documents are needed.

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This article is for educational purposes only and does not constitute personalized financial advice. Please consult a qualified financial planner before making any financial decisions.