Lawyer Retirement and Estate Planning

The compulsory portion is regulated in Article 471 of the Swiss Civil Code (SCC) and defines the statutory entitlement of certain individuals to a portion of the available estate. These entitled parties are the spouse, registered partner, or descendants. The compulsory portion protects these family members from being bypassed in a will and disadvantaged in the event of inheritance.

The compulsory portion also applies to wills: What many do not consider when drafting their last will without legal assistance is that the compulsory portion claim of a specific person or group of heirs generally cannot be completely excluded in a will - even if the testators wish for it. By law, certain relatives therefore have the right to enforce their compulsory portion through legal means.

In Switzerland, according to Article 517 Paragraph 1 of the Swiss Civil Code (SCC), you have the option to appoint an executor with the administration of your estate during your lifetime. You assign this person the task and all associated rights and obligations to distribute your assets among your heirs as specified in your will after your death. At the same time, you entrust the executor with the completion of all administrative tasks that arise after your death until the completion of the testamentary execution. The appointment of an executor is voluntary. Without such an appointment, all tasks fall to your heirs.

In Swiss inheritance law, the term "estate" or "inheritance estate" refers to the active and passive assets of a deceased person. This includes the entire property of the deceased:

• Cash and capital assets
• Real estate and properties
• Personal property

Ongoing obligations and debts are also included.

According to Articles 457 ff. SCC, succession is based on the parentel system in Switzerland. The heir community is divided into degrees of relationship. The hierarchy is as follows:

1. Parentel = Descendants
2. Parentel = Parents and descendants
3. Parentel = Grandparents and descendants

Spouses and registered partners are outside the parentel system, but also have a statutory inheritance right according to Article 462 SCC. This depends on which parentel is to be divided with.

For unmarried and childless couples, the parents of the deceased are primarily entitled to inheritance. The rights then follow the parentel system if the next of kin are deceased or not present. Adopted children have the same status as biological children, while stepchildren are not entitled to inheritance by law.

During your lifetime, you can ensure that your estate is divided according to your wishes after your death. According to the Swiss Civil Code (SCC), this can be done through a will or an inheritance contract (Article 481 SCC). Provisions can also be made in a marriage contract at the time of marriage. These legally valid documents can help avoid inheritance disputes.

These contracts are voluntary for Swiss citizens. You are not obligated to make a will if you do not wish to do so. You can also transfer assets to specific individuals during your lifetime with a donation agreement or designate a close person as a beneficiary in your life insurance policy. Without a will or inheritance contract, Swiss inheritance law applies.

The costs for consultation with a lawyer for estate planning and administration can vary depending on the lawyer and various factors, including the complexity of the case, the type of services required, and individual agreements with the lawyer. Some lawyers may charge for their services on an hourly basis, while others may demand a flat fee for specific services.

In some cases, government fees, such as for notarizing documents or filing court documents, may also apply.

It is advisable to inquire about the costs in advance and consult with multiple lawyers to compare offers and find a lawyer who meets your needs and budget.

The preparation of an estate inventory is often charged on a flat fee basis, especially if the estate is relatively simple and does not include complex assets or debts. In such cases, the lawyer may charge a fixed flat fee for preparing the inventory, regardless of the number of hours spent on the work.

If the estate is extensive, contains many assets or debts, or requires additional research or clarifications, it may be difficult for the lawyer to estimate in advance how much time will be needed to prepare the inventory. In such cases, the lawyer will charge for their time spent per hour.

The costs for estate administration itself can vary greatly and depend on various factors, such as the size and complexity of the estate, the number of heirs, and the presence of disputes or legal proceedings.

Generally, the costs for estate administration include expenses such as estate management, identification and valuation of assets and debts, taxes and duties, distribution of assets, and potentially the appointment of an executor. In some cases, especially in disputes, court costs may also be incurred.