Mutual Will: Definition, How to Write and Cost

Planning for the future often involves creating legal documents that ensure your wishes are regarded, particularly with respect to estate distribution. One such option is a Mutual Will, a tool regularly misconstrued despite its significant role in estate planning. LegalPen, an online will writing service platform, provides clarity and direction on Mutual Wills to help couples make informed decisions. Understanding the nuances of a Mutual Will is fundamental for couples who wish to secure their estate’s future, making this document an imperative component in long-term financial planning.

What is a Mutual Will

A Mutual Will is a legal agreement between two or more parties, usually married couples, in which they make similar wills to ensure that their estate is distributed according to agreed-upon terms. These wills are made with a binding agreement that none of the parties can change or revoke without the other’s consent, even after one party’s demise. This agreement is normally used to protect the interests of beneficiaries, such as family and children, ensuring that the wishes of the deceased are fulfilled and prevent modifications by the surviving spouse.

How to Write a Mutual Will

Creating a Mutual Will involves a series of structured steps to ensure it is legally binding and accurately represents the shared intentions of both parties:

1. Agree on the Terms of the Mutual Will. Both parties must come to a mutual agreement regarding the distribution of their estate. Discuss and agree on how assets will be divided, the beneficiaries, and any specific conditions or provisions. This step is crucial to prevent future misunderstandings.
2. Write the Mutual Will Agreement. Write a formal agreement stating that neither party can change or revoke the will without the consent of the other. This agreement ensures that the wishes outlined in the will cannot be altered after one party’s death. Include details about the irrevocable nature of the agreement, and have both parties sign it.
3. Create Identical Wills. Create two separate but identical wills for each party. Each will should contain detailed instructions on how the estate will be managed and distributed. Clearly state all beneficiaries, any specific bequests, and the agreed-upon terms, ensuring there is no discrepancy between the two documents.
4. Include a Mutual Will Clause. Explicitly state within each will that it is being made pursuant to a Mutual Will Agreement. This clause should confirm that neither party can change the will without the other’s consent, making the document legally enforceable. This step formalizes the mutual nature of the wills.
5. Sign the Wills in the Presence of Witnesses. In order to make the wills legally binding, both parties need to sign them in the presence of two independent witnesses who do not stand to benefit from the will. Each witness must also sign the document to confirm its validity. Follow your jurisdiction’s specific requirements for witnessing to ensure compliance.
6. Store the Wills in a Secure Location. Keep both copies of the wills securely, such as a home safe, safety deposit box, or with a trusted legal professional. Inform executors or beneficiaries of their existence and location to ensure they can be accessed when needed.
7. Review and Update When Necessary. While a Mutual Will is generally irrevocable, minor updates, such as changes to executor information or beneficiary addresses, can sometimes be made with the mutual consent of both parties. Both parties must draft a new Mutual Will Agreement for any significant changes.

What is the Cost of a Mutual Will

A Mutual Will costs between $150 and $1,000, depending on the method you choose to create the will. Below are the different methods and their respective prices:

1. DIY Mutual Will. This method costs between $50 and $150. It is the least expensive option and involves using standard templates available online or in guidebooks. While cost-effective, this approach is only good for simple estates. When not created with caution, it could lead to potential legal disputes or an invalid will.
2. Online Will Writing Services. Online services charge between $150 and $300 for a Mutual Will. These platforms provide wills curated to meet the specific needs of the individuals, thus making them a good choice for couples who want a budget-friendly yet reliable option. The process is faster and more convenient, with some platforms offering added features like digital storage or professional review for additional security. At LegalPen, the cost of creating a professionally written mutual will is $249.
3. Hiring an Attorney. This strategy costs between $500 and $1,000, depending on the complexity of the bequest and the attorney’s hourly rate. It is the foremost costly alternative but dependable, as a lawyer gives lawful counsel and guarantees the will meets all lawful measures. People with complex bequests, such as different properties or mixed families, should consider this option to avoid disputes in the future.

How Do Mutual Wills Work

Mutual Wills are created when two parties, usually married couples, come to a legally binding agreement to draft identical wills with the same terms and provisions. They function as a joint commitment, ensuring that the distribution of assets remains consistent even in the event of the first party’s demise. Below is how the process works:

1. Creation of Identical Wills. Every partner creates a will that specifies how their combined estate will be distributed to beneficiaries in exactly the same terms. The wills must clearly state that they are made per a mutual agreement and cannot be altered unilaterally.
2. Establishment of a Binding Contract. A Mutual Will Agreement is created alongside the wills, stating that neither party can modify or revoke the will without the other’s consent. This agreement ensures that the wishes expressed in the wills remain intact even after one party dies.
3. Irrevocability After One Party’s Death. Once one spouse or partner dies, the Mutual Will becomes irrevocable for the surviving party. This means the living spouse cannot alter the will or change the distribution of assets, ensuring that the deceased’s wishes are honored.
4. Execution Upon Death of the Surviving Party. The estate is divided per the terms specified in the original Mutual Will upon the death of the surviving spouse or partner. The document binds both parties, so modifications that might disinherit intended beneficiaries, like children or other family members, could not be made.

Are Mutual Wills Enforceable

Yes, mutual wills are enforceable if created with a binding mutual will agreement that outlines both parties’ intentions. The agreement ensures that the surviving spouse cannot change the terms of the will after one party’s death, protecting the original estate plan. The most asked question is, can a surviving spouse change a joint will? In such cases, the court intervenes to prevent alterations if they breach the agreement. Thus, a mutual will must include a legal agreement to ensure that the terms of the will remain intact and the wishes of the deceased are fulfilled.

Is Mutual Wills the Best Type of Will for Married Couples

No, a mutual will is not always the best type of will for married couples. While it ensures that the estate distribution cannot be changed after the death of one spouse, it may restrict the surviving spouse’s ability to adapt to new circumstances, such as remarriage or changes in the family structure. A joint will for married couples might be a more flexible alternative, as it allows both parties to outline their wishes in a single document without binding the surviving spouse in the same way. Mutual wills are suitable when both parties want to guarantee a specific distribution plan, particularly when protecting children from a previous marriage is a priority. However, for couples looking for flexibility, separate wills or a joint will for married couples may be better options, as they allow the surviving spouse to adjust the terms based on future needs.

Can a Surviving Spouse Change a Mutual Will

No, a surviving spouse cannot change a mutual will once one party dies. This is because a mutual will is governed by a binding mutual will agreement, which explicitly states that the terms cannot be altered without mutual consent. After the death of one spouse, the agreement becomes irrevocable, preventing the surviving spouse from making any changes to the distribution of assets or beneficiaries.

Do Husband and Wife Need Mutual Will or Separate Will

No, husband and wife do not necessarily need a mutual will. Choosing between a mutual will and a separate will depends on their specific estate planning goals. A mutual will is ideal for couples who want to ensure that their estate plan remains unchanged even after one spouse’s death, such as when they want to protect children from previous marriages or provide a particular distribution. On the other hand, separate wills offer more flexibility, allowing spouses to make independent decisions and update their will according to changing circumstances. This option is recommended for couples who prefer having autonomy over their estate plans or anticipate that their financial situation may change over time.

What Happens with a Mutual Will When One Person Dies

When one person dies in a mutual will arrangement, the terms of the will become irrevocable for the surviving spouse. This means that the surviving spouse cannot alter, revoke, or change the will’s provisions, even if their circumstances change, such as remarriage or a change in financial situation. The mutual will agreement ensures that the estate is eventually distributed according to the original terms set by both parties.

Can You Create Mutual Wills Online

Yes, mutual wills can be created online using reputable will-writing platforms specializing in estate planning. These platforms offer guided templates and legal clauses that comply with local regulations, making it convenient for couples to draft mutual wills without visiting a lawyer in person. Online services typically provide step-by-step instructions to ensure that both wills are identical and include a mutual will agreement to bind them legally. However, it is crucial to choose a renowned online platform to avoid errors or omissions that could affect the will’s validity. Couples with complex estates or unique distribution requirements should consider seeking professional review, even when using an online service, to ensure that all legal conditions are met.

What are the Pros and Cons of a Mutual Will

What is the Alternative to a Mutual Will

The alternative to a mutual will is creating separate wills or a joint will. Separate wills allow each spouse to draft an independent document outlining their individual wishes. This option provides flexibility, enabling each party to update or change their will as needed without requiring the consent of the other. Separate wills are ideal for couples who want autonomy over their estate plans or have varying assets and beneficiaries. A joint will is a single document signed by both spouses detailing a shared estate plan. Unlike mutual wills, a joint will usually becomes irrevocable after one spouse’s death. While a joint will for a married couple can provide a unified plan, it is less common due to its restrictive nature.

What are the Differences Between a Mutual Will vs Joint Will

The primary difference between a mutual will and a joint will is in how they are structured and enforced. A joint will for a married couple is a single document that both spouses sign, and it generally becomes irrevocable once the first spouse passes away, meaning the surviving spouse cannot alter the terms. On the other hand, a mutual will involves two separate but identical wills created under a binding agreement. This agreement prevents either party from changing the will without the other’s consent, ensuring the distribution plan remains intact even after one spouse’s death.

What are the Differences Between a Joint Will vs an Individual Will

The main difference between a joint will and an individual will lies in their structure and flexibility. A joint will is a single document shared and signed by both spouses detailing a unified plan for distributing the estate, which typically becomes irrevocable upon the death of one spouse. In contrast, an individual will is a separate document created independently by each person, allowing them to outline their personal wishes and update the will as needed. An individual will provides more flexibility, enabling changes to be made at any time during the testator’s lifetime. On the other hand, joint wills are more restrictive, binding the surviving spouse to the terms agreed upon, which may not accommodate changes in circumstances. Due to this inflexibility, individual wills are often preferred, as they offer greater autonomy for each party to make decisions based on evolving needs and situations.

What are the Differences Between a Mutual Will and a Mirror Will

The major difference between a mutual will and a mirror will is the enforceability of changes after one party’s death. A mutual will is a legally binding agreement that the surviving spouse cannot change or revoke once one partner dies, ensuring the estate is distributed exactly as originally planned. In contrast, a mirror will sometimes referred to as a reciprocal will—allows each spouse to create similar individual wills that reflect the same terms. Still, the surviving spouse retains the right to modify or revoke their will at any time after the other’s death. While both wills initially set out identical wishes, mutual wills are more restrictive, whereas mirror wills allow the surviving spouse to adapt to new circumstances.