When a person passes away without a valid Will (intestate), their estate cannot be distributed until someone is legally appointed to manage it. This is where a Letter of Administration comes in. It is a Court Order that authorises a suitable person typically a close family member to act as the estate administrator.
The estate will be distributed to the entitled beneficiaries according to the Distribution Act 1958, which outlines how assets are to be divided among surviving family members.
| Surviving Family Members | Distribution of Estate |
|---|---|
Spouse only
|
100% to spouse |
Children only
|
100% equally among children |
Parents only
|
100% equally among parents |
Spouse and children
|
1/3 to spouse, 2/3 equally among children |
Spouse and parents (no children)
|
1/2 to spouse, 1/2 equally to parents |
Children and parents (no spouse)
|
2/3 equally among children, 1/3 equally to parents |
Spouse, children, and parents
|
1/4 to spouse, 1/2 equally among children, 1/4 equally to parents |
If the deceased left a valid Will, a different legal process known as a Grant of Probate would apply.
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