The statutory legacy for intestacy in Western Australia has increased significantly.
Intestacy occurs when a will does not distribute a deceased estate effectively. The statutory legacy is the amount the deceased’s surviving relatives are entitled to on intestacy under the Administration Act 1903. However, since it was last amended in 1982, Western Australia had the lowest statutory legacy in Australia with the deceased’s surviving partner entitled to:
- the deceased’s household chattels;
- the first $50,000 of the intestate estate; and
- an additional one-third of the balance of the intestate estate.
Where the deceased had children, they were entitled to an equal share of the remaining two-thirds of the balance of the intestate estate.
Where the deceased left a surviving partner but no children, the partner was entitled to $75,000.
If real property was not transferred to the deceased’s partner via survivorship, the statutory legacy could be insufficient for their maintenance. This often led to a negotiated financial arrangement with their children or proceedings under the Family Provision Act 1972.
From 29 March 2022, with the commencement of the Administration Amendment Bill 2021 (WA), the surviving partner is entitled to:
- the deceased’s household chattels;
- the first $435,000 of the intestate estate; and
- an additional one-third of the balance of the intestate estate.
The deceased’s children are still entitled to an equal share of the remaining two-thirds of the balance of the intestate estate.
Where the deceased left a surviving partner but no children, the partner is now entitled to $705,000
Under the existing scheme, the parental statutory legacy where the deceased is survived by parents, siblings, and nieces and nephews but is not survived by a partner or children, was $6,000. It has been increased to $56,500.
A formula has been added to the Act requiring the amount of these statutory legacies be reviewed every two years.
The commentary in the By Lawyers WA Letters of administration publication has been updated accordingly.