Look around Georgetown or any settled area in Guyana and you will see structures in some stage of abandonment. Some of these properties are a result of estate dispute or unadministered estates. The properties tied up in estate applications or disputes in Georgetown alone most likely amount to billions of dollars.

All these properties have a golden thread that binds them together, an owner who at some point decided not to make provision for his property when he died.

The natural question that flows from the statement above is why?  There must be a cultural of psychological reason that people in Guyan do not plan for their death. You will sometimes hear old people say that making a will hastens your death.

What do Guyanese who have acquired assets, and who wish to protect and distribute those assets need to know about estate planning?

For estate planning in Guyana there be aware of the following three options:

1.      The making of a Will

2.      The establishment of a Trust

3.      The making of a Wills Trust

The Will - Entry level asset protection

 The Will allows you to appoint a person to settle your debts and distribute your assets to the individuals you have identified. The most important fact to keep in mind with making a will is that you can change it and that you should change it as you gain of lose assets.

The Trust - intermediate or expert level asset protection depending on the structure.

The trust allows its creator to transfer his property to a person to manage for a person or a group of people called the beneficiaries that the creator of the trust has designated. This structure is most appropriate for people with assets that need management. Usually because of the nature of the assets or the characteristics of the beneficiaries. By way of example, if you have a large amount of real estate, rental properties or a large stock portfolio you would need to consider a trust, as these assets require active management. Also, if your beneficiaries are very old or very young, a trust is a good option for you, as the beneficiaries may not have the know how to manage the relevant assets. A trust used to manage real estate can be costly depending on if the real estate under consideration is exempt from capital gains tax.

The Wills Trust allows the structure of a trust with the timing of a will

Allowing you the best of both structures. However, it has to be carefully thought out and drafted. It offers no second chances as it operates posthumously.