Hypothetical Billionaire‘s Dilemma

Lyadq on 24/07/2022 - 12:12

This is all completely hypothetical, not an “asking for a friend” type of post.

Let’s assume the following:

  • I’m a billionaire with a net worth of $2B
  • exactly 1 billion is allocated across 2 bank accounts (split 50/50) - one of them within AU jurisdiction, the other “somewhere else”
  • the other billion is spread across 15 (soon to be 25) investments properties, high yield investment cars and a RAV4 (just for the sake of a roof rake on it)
  • sorry rekt, no crypto
  • I have no family whatsoever, nobody to pass the wealth to, I mentioned nobody in my will
  • I die

The question is: what happens with all my wealth? Who takes it? If the government - where does the money go to exactly? Will the properties and all the other goods get auctioned? Could the international bank just yoink it for themselves?

I’m not trolling, I was genuinely wondering about this and the only appropriate place to seek the answer seemed to be ozb.

Financial

Comments

  • Jimothy Wongingtons on 24/07/2022 - 12:18
    +18

    Bro you a billionaire and you don’t have a financial and legal advisor to take care of all this?

    • SF3 on 24/07/2022 - 12:36
      +12

      financial and legal advisor

      Plot twist, OP is the financial and legal advisor.

      I think the billionaire needs get someone else.

    • Savas on 24/07/2022 - 13:12
      +3

      This is ozbargain, we are financial experts!

      • Jimothy Wongingtons on 24/07/2022 - 13:13
        +5

        *looks at hecs debt *
        *looks at investment portfolio *

        *profuse sweating *

        • toristo on 24/07/2022 - 14:17
          +10

          Well I cleared my HECS, and I've got 4 green bananas and half an iceberg lettuce, so my investments aren't terrible, but certainly aren't overseas bank account dramas.

          In the event of my death, I hearby do solemly declare my wishes to leave my fruit & vege to Jimothy Wongintons of Ozbargain… he needs it more than me.

          • Jimothy Wongingtons on 24/07/2022 - 14:42
            +7

            @toristo: so blessed. so moved. so grateful. cant believe this is my life. never going to take it for granted. always going to give back. thank you @toristo - u a real one fam

  • AndyC1 on 24/07/2022 - 12:19
    +4

    Hypothetical can you let us poor OZB users how we can make $2B?

    • Jimothy Wongingtons on 24/07/2022 - 12:37
      +13

      Step 1: start with a TRILLION dollars

      Me: :(

    • spackbace on 24/07/2022 - 14:09
      +4

      Start with a small loan from your parents

  • Tyrx on 24/07/2022 - 12:19
    +4

    The estate goes to the closest (not to be confused with known relatives - they can go pretty far away in a family tree) living relative. If no relatives can be found, the state will claim and obtain the estate. That would be very, very uncommon though… there are specialised companies that trawl through birth and death records to find any relatives that may be able to claim the inheritence.

    • whatwasherproblem on 24/07/2022 - 12:23
      +5

      Exactly. It's where those classic "Some distant relative of mine died and left me a fortune!" rags-to-riches stories come from.

    • moar bargains on 25/07/2022 - 13:05
      +1

      there are specialised companies that trawl through birth and death records to find any relatives that may be able to claim the inheritence.

      … and then hire Nigerians to contact the people who are eligible to claim the inheritance!

  • SmiTTy on 24/07/2022 - 12:21
    +3

    I guess when you're a billionaire, you can get other people to do your googling

    Tldr.. It goes to the government

    (underneath the highlighting)

    https://newsroom.unsw.edu.au/news/business-law/what-happens-…

  • SF3 on 24/07/2022 - 12:28

    Sure ok.

    Your accountant should be able to tell you, otherwise don't worry it is just hypothetical.

    Confirming there is NO dilemma.

  • holdenmg on 24/07/2022 - 12:31
    +1

    1 or 2 Billion in Monopoly Money doesn't count. lol

    • AndyC1 on 24/07/2022 - 12:38

      Can we play the cheaters edition so I can get more money than I deserve?

  • Vote for Pedro on 24/07/2022 - 12:34
    +5

    I die

    I have no family whatsoever, nobody to pass the wealth to, I mentioned nobody in my will

    Then who cares

    • ThithLord on 25/07/2022 - 09:10
      +2

      I'm literally trying to figure out what OP's stipulations have to do with the actual question, lmao. Could have just asked what happens to my assets if I pass, and I have no will or family to pass on to?

  • bobbified on 24/07/2022 - 12:40
    +2

    Hypothetical Billionaire‘s Dilemma

    Ask your hypothetical lawyer/account.

    • djones145 on 24/07/2022 - 21:51

      but Hypothetically I don't know any lawyers, accountants, financial advisors, bankers

      have no friends, associates, family, anyone.

      I'm off the grid, found this 2 billion

      Hypothetically of course

  • sss333 on 24/07/2022 - 12:46
    +5

    (just for the sake of a roof rake on it)

    In case you find a pile of leaves while you're driving along?

  • coffeeinmyveins on 24/07/2022 - 13:00
    +2

    The correct answer is to buy a Camry

  • Savas on 24/07/2022 - 13:13
    +6

    I would become a billionaire first, worry about this problem second.

  • try2bhelpful on 24/07/2022 - 13:44

    What happens to your money depends on what you have in your will.

  • FireRunner on 24/07/2022 - 14:01
    +2

    Assuming you don't have a will or it is not valid, it will go to your next of kin. If you have absolutely no living relatives then the government will take it

    Source

  • Gunnar on 24/07/2022 - 14:20
    +3

    Look up succession laws in Australia and for the state you live in. There’s a clear heirarchy of how your estate can go to if you die with no next of kin

    • poboy on 24/07/2022 - 21:03

      The rules of intestacy.

  • Trying2SaveABuck on 24/07/2022 - 15:41
    +2

    wtf is this post…. dead set

  • katykat on 24/07/2022 - 15:54
    +3

    So because you didn't just pop into existance, you will have a relative somewhere. There are specialist government departments and companies that track down your great-great grandmother's niece's son and they will get the inheritance. They will go pretty far back in order to establish succession. If there really is no one, the state will take it.

    Having said that, if you have a will then you have stated where everything will go. That is what a will is. You cannot have a legal will that is valid if it does not dispose of your estate. The above is if you are intestate or what you put in your will is invalid, therefore making you intestate.

  • AustriaBargain on 24/07/2022 - 16:17
    +1

    If you have two billion dollars, mostly in cash, then you can easily find a wife/husband. Or pledge it all to a local cat shelter in a text message.

    • yadq on 24/07/2022 - 16:50
      +1

      Will you marry me?

      • poboy on 24/07/2022 - 21:04
        -1

        Jerry Hall.

  • MrThing on 24/07/2022 - 16:38
    +4

    you dont even have to be a billionaire, just an every day person who dies with no family and no kids and no will.

    what do?

  • 2esc on 25/07/2022 - 09:10

    There will be relatives somewhere.

    But if not set up a trust fund that aims to grow with part of the investment returns being spent on causes you are passionate about.

    Such as saving the 3 legged pink goanna or what ever. If it's done right and managed well it the wealth could still be around 50 plus years from now.

    Oh make sure to get frozen upon death so maybe down the track they can bring you back once they work out a cure for whatever killed you and you'll still be rich maybe just stuck in a jar like on Futurama.

  • MrBear on 25/07/2022 - 11:59

    Probate determines this.

    Also, it is a roof rack, not a roof rake, unless you are a gardener.

    • yadq on 25/07/2022 - 18:31

      I clearly forgot to mention my imaginary billionaire accumulated all of her wealth through her gardening empire - hence roof rake ;)

  • RMBC on 25/07/2022 - 15:39
    +1

    As others have said, if you're a billionaire, you have advisors, or at least hangers on who'll be trying to get a piece of the action, so this won't happen, however, let's pretend it did.

    You've complicated matters here because you have assets in different countries, so the answer will vary depending on which other countries your assets are in, so for that, no answer can be provided, but the governing rules of that country will impact the result. Perhaps they will cooperate with your country of residence, perhaps not. I doubt it would end up going to a different country if there are no individuals who meet the requirements to benefit from your estate.

    In Australia, if you die intestate, ie without a valid will, the relevant laws that determine how your assets will be dealt with vary state by state/territory, but generally, your estate will need to settle all your outstanding liabilities, including loans, taxes and other debts. After this, the balance is left to next of kin. If no direct family exist, they will look for any living relative up to first cousins. Frankly if you're worth this kind of money and die with no direct relatives, expect someone to come out of the woodwork and claim some sort of defacto relationship.

    Assuming no one does, and the estate is unclaimed, then it will go to the government as unclaimed property.

    As for administration of it, first they look for beneficiaries to administer it, however if they find none, the state/territory government will do so for you, known as the public trustee or public guardian.

    • yadq on 25/07/2022 - 18:28

      I really appreciate your detailed answer! Many people tried to say more or less something similar but your answer ticks all my curiosity boxes. Thank you!

Login or Join to leave a comment
Login Join