How to Make an Islamic Will: Step-by-Step Guide for Canadians

Learn how to make a legally valid Islamic Will and Legacy Plan with the free MuslimMoney Will Kit.

On this page

• Video
• Introduction
• Who is this For?
• You Can Get This Done
• Why Writing a Will is an Act of Faith in Islam
• Preparing a Will is Preparing for Death
• From Estate Planning to Legacy Planning
• The Three Objectives of an Islamic Will and Legacy Plan
• A Crash Course on Inheritance
• The Western Estate: Two Tiers
• The Islamic Estate: 4 Stages
• Think Relationally to Align Both Systems
• Choosing the Right Controllers
• What Holds Up In Court?
• Use the MuslimMoney Will Kit to Build Your Islamic Will and Legacy Plan
• The Toolkit
• 1. 🔍 Discover
• 2. 💭 Discuss
• 3. ✍️ Document
• The Extras
• 🖋️ Legacy Letter
• 🤝🏽 Powers of Attorney
• How Your Islamic Will and Legacy Plan Works After You’re Gone
• Phase 1: The First 48 (0 - 48 Hours)
• Phase 2: Lock & Launch (Days 3 - 10)
• Phase 3: Classify & Notify (Weeks 2 - 6)
• Phase 4: Calculate & Plan (Months 1 - 3)
• Phase 5: Distribute & Close (Months 3 - 12+)
• Related Articles

Video

Introduction

Who is this For?

If you’re an adult Muslim, you should have a Will. The Prophet ﷺ said:

“It is not befitting for a Muslim who has something to will to let two nights pass without having their will written and kept ready with them.” (Bukhari)

This guide is for you if:

• You want to get your Will done right away on your own.
• You have a complex estate and want to have better conversations with lawyers, accountants and scholars.
• You already have a Will but want to make sure you have everything you need.

You Can Get This Done

Most people know they need a Will, but many never make one.

Even if they do, they forget to update it. We avoid thinking about it until we see others’ problems—like families fighting over money or rushing to find important papers after someone dies.

In those moments, we ask: Will this be my family someday?

We might do a quick online search, find lawyers or professionals selling their services, feel overwhelmed, and then forget about the idea. Time passes—until another cautionary tale of estate troubles makes us wonder again if we should take action.

This guide is designed to break that cycle.

We’ll go through some key concepts first, but don’t let that overwhelm you.

Even if you understand only a small portion of this guide, you will be ahead of the curve and better prepared to complete your Islamic Will and Legacy Plan

But before diving into the practical steps, it’s important to address an inner barrier: facing our own mortality.

Why Writing a Will is an Act of Faith in Islam

Preparing a Will is Preparing for Death

For believers, writing a Will is an opportunity to remember that life is temporary.

The Prophet ﷺ advised:

“Remember often the destroyer of pleasures - death, for no one in hardship recalls it without feeling relief, and no one in comfort recalls it without having their vain hopes humbled.” (al-Bazzar).

As you begin preparing your will and estate plan, consider the following intentions:

• Remind yourself that this world is temporary and material possessions will eventually leave you, while your actions stay with you.
• Ensure your wealth is distributed in accordance with Qur’anic guidelines.
• Promote justice and prevent disputes among your family and heirs.
• Make things easier for those you leave behind by clarifying your wishes and responsibilities.
• Ensure that your burial and funeral rites follow the Sunnah, reflecting dignity and simplicity as taught by the Prophet ﷺ.
• Fulfill your responsibility as a parent by appointing a guardian who will raise your children to be righteous and mindful of God.
• Leave behind a legacy that inspires good deeds and strengthens faith among your family and community.

To delay preparing your Will is like clinging to a life you’ve already entrusted to Allah.

Embrace this planning phase as a chance to tie loose ends, seek forgiveness, and depart with the certainty that your affairs - like your soul - are surrendered to Him.

From Estate Planning to Legacy Planning

Traditional estate planning often focuses on technical compliance: Islamic scholars emphasize aligning wills with Qur’anic inheritance rules, while lawyers prioritize legal enforceability.

But a purely transactional approach risks overlooking the relational elements.

A Will may be legally valid but relationally destructive if heirs feel blindsided. Consider two approaches:

• Transactional Estate Plan: A father drafts a will dividing his wealth among heirs but never discusses his intentions. After his death, siblings clash over perceived unfairness, fracturing relationships.
• Relational Legacy Plan: The same father creates a will and holds family meetings to explain his choices, emphasizing Qur’anic obligations and his hope for unity. He appoints a mediator to resolve disputes. The family grieves together, united by trust.

A holistic relational legacy plan is:

1. Legally Compliant
• A Will that satisfies Canadian law and adheres to Islamic inheritance rules.
• Clear documentation of debts and assets.
2. Emotionally Connected
• Transparent discussions that explain your intentions and values.
• Mediation or conflict-prevention steps written into your plan.
3. Spiritually Anchored
• Addressing religious obligations, such as unpaid zakat or unperformed hajj.
• Including an ethical will or legacy letter that conveys personal wisdom.

To capture this more comprehensive approach, we’re going to refer to this processes as the Islamic Will and Legacy Plan.

The Three Objectives of an Islamic Will and Legacy Plan

“O you who believe! Fear Allah, and let every soul look to what it has sent forth for tomorrow” (59:18).

A well-rounded Islamic Will and Legacy Plan helps you honor this command in five ways:

1. Islamic Burial: Your final rites follow Islamic teachings, fulfilling your wishes and offering comfort to those you leave behind.
2. Just Distribution: All financial and religious obligations are settled. No one is left with the burden of unpaid debts that might weigh on your soul and your family’s peace of mind. Placing assets in the right hands according to Qur’anic shares and your chosen bequests.
3. Family Unity: Loved ones remain on good terms, free from conflicts that sometimes arise when a person’s wishes are unclear or left undocumented. Your family remember you with positive feelings and offer continuous prayers, strengthening their own faith and honoring yours.

Each of these outcomes depends on factors beyond your control.

You cannot guarantee perfect outcomes, but you can set the stage for success through careful preparation.

A Crash Course on Inheritance

You need to have a basic understanding of how assets are handled in both Western and Islamic law. While the two systems treat assets differently, your Islamic Will and Legacy Plan can align them effectively.

The Western Estate: Two Tiers

In most Western jurisdictions, including in Canada, your assets are categorized in two tiers when you die.

1. Frozen Assets (Probate Assets)
• Bank accounts solely in your name, real estate owned solely by you, and personal property.
• These typically “freeze” and require probate (court approval) before distribution.
• Your will governs these assets, and debts are often paid from here first.
2. Flowing Assets (Non-Probate Assets)
• Joint accounts, life insurance policies, and certain registered investments (RRSPs, TFSAs, pensions) that have named beneficiaries.
• A home held in joint ownership with a “right of survivorship” automatically transfers to the surviving owner (common with married couples whose names are both on the title).
• Assets in a trust bypass probate and follow the trust’s instructions. Setting up a trust usually requires professional help.

The Islamic Estate: 4 Stages

Under Islamic law, your estate moves through four phases after you die:

1. Determine
• Assess everything you owned at death. This includes both frozen and flowing assets, and your portion of jointly-held assets.
• This establishes your Gross Estate, or your Tarikah in Islamic law.
2. Deduct
• Pay off funeral expenses, personal loans, or debts, including unpaid mahr or zakat.
• This establishes your Net Estate.
3. Gift
• You can bequeath up to one-third of the net estate to individuals or causes that are not among the fixed Qur’anic heirs.
• This establishes your Residuary Estate, or your Mirath in Islamic law.
4. Distribute
• The final residuary estate must be divided according to the Qur’anic shares (4:11–12).

Think Relationally to Align Both Systems

You now know that some assets—such as joint accounts or tax-advantaged accounts (RRSPs, TFSAs) with named beneficiaries—flow directly to heirs, while others remain frozen until your executor unlocks them through probate.

Your Islamic estate includes both flowing and frozen assets. Their combined distribution must align with Islamic principles.

This is why relational thinking matters. The executor (controlling frozen assets) and beneficiaries (receiving flowing assets) must collaborate to ensure your estate adheres to Islamic guidelines.

Choosing the Right Controllers

There are many ways to approach who will have control over the various components of your estate. The approach you take will largely depend on your family situation.

Here are common setups:

• One Person Controls and then Redistributes

Giving one person full authority over both flowing and frozen assets can streamline decisions. This one individual will then redistribute assets to match the Qur’anic shares later. Many couples name each other as primary beneficiaries of flowing assets and executors of probate assets. This structure often simplifies tax deferrals and helps fulfill Islamic shares, especially if the spouse is ready to take on that responsibility.


• Multiple People Control and then Rebalance

Some families divide roles—perhaps the spouse controls certain flowing assets, while a trusted sibling or an adult child serves as executor. This can work smoothly, as long as everyone understands the overall plan and remains committed to upholding Islamic distribution guidelines.

In any scenario, the individuals overseeing each asset category need open communication and a shared goal of fulfilling your wishes in a way that prevents resentment or inequity among heirs.

What Holds Up In Court?

The court does not oversee the distribution of your estate. This is a common misconception.

In most cases, the court’s role is limited to validating your Will and granting your executor legal authority (via a Grant of Probate) to manage your frozen assets.

Once authorized, your executor distributes assets according to your wishes without court involvement.

Unless conflict arises.

If disputes erupt—a sibling contests your will, a beneficiary refuses to cooperate, or heirs clash over interpretations—the court steps in.

If that happens, God forbid, it can get very messy.

Lawyers are trained to anticipate these risks. It’s their responsibility to ensure that the documents they draft for you will hold up to scrutiny in court. In other words, a lawyer can’t only plan for the best case scenario where your family is on the same page and there’s minimal court involvement (i.e. just so the executor can receive the Grant of Probate).

They have to plan in anticipation that people may get upset and petition the court to settle disputes. A lawyer must regularly ask, “What if this ends up in court?.”

You may wish to enlist a lawyer to help you in Step 3 the Process or you may wish to do it on your own. We’ll address situations where it’s recommended to hire a lawyer to help you complete the documentation of your Islamic Will and Legacy Plan.

More on that later in the article.

Use the MuslimMoney Will Kit to Build Your Islamic Will and Legacy Plan

The MuslimMoney Will Kit will walk you through the Islamic Will and Legacy Process.

The Toolkit

Here are the essential tools you’ll find in the Will Kit. I explain how to use these tools in The Process section below.

1. Islamic Will Workbook
2. Islamic Will Discussion Guide
3. Islamic Last Will Template

Here are extra tools you'll find in the toolkit. I explain how to use these tools in The Extras section below.

4. Islamic Legacy Letter Template
5. Power of Attorney Templates

Get the MuslimMoney Will Kit

The Process

Here is the three-phase process to get a complete legally valid Islamic Will and Legacy Plan -

1. 🔍 Discover

Tool Used: Islamic Will Workbook

Purpose: Simulate the four stages of the Islamic Estate settlement process to uncover gaps in your current estate.

Action:

• Islamic Estate Simulation

Use the workbook to walk through what would happen to your estate if you died today, following the four phases. This will reveal you desired end state and

1. Determine: List all assets (bank accounts, property, debts owed to you).
2. Deduct: Calculate debts (funeral costs, unpaid zakat, loans).
3. Gift: Identify if you’ve allocated up to 1/3 of your net estate to non-heirs (e.g., gifting a charity or friend).
4. Distribute: Estimate how the residuary estate would divide per Qur’anic shares.
• Adjust Today: the simulation may reveal misalignments. For instance:
• If your spouse or children would struggle financially after your death (e.g., your wife lacks sufficient savings to maintain the household), consider gifting funds or assets now to ensure their stability.
• If debts exceed assets, prioritize settling obligations now to protect heirs.
• The Islamic Will Workbook helps you document these observations - even if no immediate action is required - so you can address them in discussions with heirs or professionals.

2. 💭 Discuss

Tool Used: Islamic Will Discussion Guide

Purpose: Align your plan with family expectations and Islamic ethics.

Action:

1. Hold Family Meetings

Use the guide to:

1. Explain Qur’anic inheritance rules and why certain choices (e.g., gifting a non-heir) are within the 1/3 limit.
2. Address guardianship preferences for minor children.
3. Share burial wishes (e.g., simplicity, avoiding extravagance).
2. Adjust Your Workbook

After conversations, revisit your workbook to:

1. Add/remove beneficiaries based on feedback (e.g., increasing a sibling’s gift if they’re struggling financially).
2. Clarify intentions in writing to avoid ambiguity (e.g., specifying that a son’s larger share is due to unpaid labor in a family business).

3. ✍️ Document

Tool Used: Islamic Last Will Template

Purpose: Legally formalize your wishes.

Action: 

• Choose your approach for your Last Will
• Do-it-Yourself Template: Fill out a template and make the will legal on your own.
• This approach is best if your estate is straightforward and your inheritors agree on the plan, with little likelihood of conflict after your passing.
• Lawyer-Drafted Will: Hire a lawyer to prepare your will and provide personalized advice tailored to your unique circumstances. This is often the best choice if:
• Complexity: Your estate is large or involves specialized assets (e.g., corporate interests, multiple properties, children with special needs) that require careful structuring.
• Conflict: You anticipate tensions among heirs - no matter how open the discussion - so you want professional guidance to prevent or manage disputes.
• Completion: : You need professional accountability to ensure your plan is finalized - just like hiring a personal trainer to keep you on track..
• Designate Beneficiaries & Co-Owners:
• Contact banks, insurers, and investment firms to ensure your flowing assets (e.g., RRSPs, TFSAs, joint accounts, etc) have the correct beneficiaries, successors, or co-owners listed. This prevents these assets from accidentally flowing to outdated contacts (ex-spouses, deceased relatives) or becoming frozen due to mismatched designations.
• If any of your beneficiaries are minors, be sure to designate a trustee for them with each institution.
• Store your will in a folder. Label it your “Legacy Folder.”
• Print the Islamic Will Workbook sheets and store them in the folder too.
• Inform your executor and backup executor of the folder's location.

The Extras

🖋️ Legacy Letter

• Use this template to write a personal message to your loved ones that details your values, lessons, and final reflections.
• Muslims have long included personal advice and reflections in estate planning to guide loved ones spiritually and morally alongside material inheritance.

🤝🏽 Powers of Attorney

• Use these province-specific templates and decide who should have the authority to make financial and health decisions if you’re not healthy enough to do so on your own.
• Make these documents legal by following the signing instructions.
• Add the documents to your estate folder and inform the representatives you’ve selected.

How Your Islamic Will and Legacy Plan Works After You’re Gone

When you pass away, your loved ones face a whirlwind of emotions and responsibilities. Your Islamic Will and Legacy Plan becomes their roadmap to honor your faith, protect your wealth, and preserve family unity.

Here’s how it unfolds:

Phase 1: The First 48 (0 - 48 Hours)

1. Obtain the Medical Certificate of Death
• A physician or coroner confirms the cause of death. This is required for burial permits and subsequent legal processes.
2. Access Your Legacy Folder
• Your next-of-kin or executor locates your Legacy Folder, which contains important documents. They review any specific funeral directives you’ve left.
3. Arrange the Muslim Burial
• A local mosque or Islamic funeral home performs ghusl (ritual washing), janazah (funeral prayer), and burial—ideally within 24–48 hours.

Phase 2: Lock & Launch (Days 3 - 10)

1. File for the Official Death Certificate
• This is typically handled by the mosque or funeral society. Otherwise, the executor submits the necessary forms to Vital Statistics.
• It’s wise for the executor to order 10+ certified copies, as many institutions (banks, insurers) require originals.
2. Review Your Legacy Folder
• Your executor checks the folder to identify accounts, credit cards, bills, investments, properties, and digital holdings (e.g., social media) that need immediate attention.
3. Secure, Notify, and Freeze
• The executor notifies banks, credit card companies, and subscription services of the death, placing temporary holds or closing accounts to prevent unauthorized transactions.
• They also safeguard valuables and secure any real estate—changing locks if necessary—to prevent unauthorized access.

Phase 3: Classify & Notify (Weeks 2 - 6)

1. Classify Assets
• Using your Legacy Folder, the executor determines which of your assets are:
• Flowing (Non-Probate): Joint accounts, RRSPs, TFSAs, life insurance policies, pensions, and real property with a survivorship clause.
• Frozen (Probate): Assets held solely in your name, such as bank accounts and real estate titled only to you.
• Both flowing and frozen assets matter for Islamic inheritance calculations.
2. Notify Institutions
• After obtaining the Official Death Certificate, the executor formally notifies financial institutions.
• Flowing Assets will transfer directly to co-owners or named beneficiaries.
• Frozen Assets will remain locked until the executor obtains legal authority (Grant of Probate).
3. Open an Estate Bank Account
• The executor sets up a dedicated estate account to manage incoming and outgoing funds (e.g., pensions, debts, ongoing expenses).
• The Official Death Certificate and the Last Will are typically required to open this account.
4. Apply for Probate (If Needed)
• If you own substantial frozen assets, the executor applies for probate to gain access to those assets.
• Note: If the frozen assets are below a certain threshold set by the financial institution, they may allow the executor to access them using only the Official Death Certificate and the Last Will, without requiring probate. The threshold varies by institution, so the executor should check with each one directly.
• The court confirms the Will’s validity and issues a Grant of Probate (or Certificate of Appointment, depending on the province).
• Probate timelines vary but often range from one to six months.

Phase 4: Calculate & Plan (Months 1 - 3)

1. Calculate Using Legacy Plan Documents
• The executor calculates the total value of your estate at death, including both flowing and frozen assets, to identify the gross estate value (tarikah).
• They then deduct funeral costs and any outstanding debts (e.g., personal loans, mortgages, unpaid zakat/mahr), arriving at the net estate value.
• Then, following your Will, the executor allocates up to one-third of your net estate to non-heir beneficiaries or charitable causes. The remainder is the residuary estate (mirath).
• Qur’anic heirs receive specific shares (percentages) of your residuary estate as outlined in your Legacy Plan. The executor calculates each heir’s dollar amount.
2. Reconcile Between Frozen and Flowing Assets
• Some heirs may have already received part of your estate through flowing assets (e.g., joint accounts or beneficiary designations). The executor factors these into the overall inheritance plan to maintain consistency with your Legacy Plan.
• In certain cases, an heir who automatically received a larger share of flowing assets will need to voluntarily redistribute a portion to align with the total distribution guidelines in your Legacy Folder.
3. Prepare a Distribution Plan
• The executor shares a clear distribution plan with all heirs, ensuring they understand how each portion was calculated.
• The distribution plan takes into consideration tax obligations on the estate.

Phase 5: Distribute & Close (Months 3 - 12+)

1. Sell and Distribute
• Once the Grant of Probate is issued, the executor proceeds to sell assets if needed (e.g., real estate) and transfer inheritance to heirs— typically via the estate bank account, by cheque, e-transfer, or direct deposit.
• The executor regularly updates heirs on progress.
2. Formally Close Accounts & Notifications
• The executor confirms closure or transfer of all remaining accounts, notifies government agencies (e.g., CPP/OAS, CRA), and settles any lingering administrative tasks.
• They may also file final or clearance returns for the deceased, ensuring any outstanding tax obligations are met.
3. Prepare the Final Accounting
• The executor compiles a comprehensive report of all transactions, including debts settled, assets sold, distributions made, and any taxes filed.
• Sharing this summary with heirs helps maintain transparency and further reduces the risk of disputes.
4. Hold Family Legacy Meeting
• Heirlooms, keepsakes, or other items not detailed in your Will can be allocated during a family meeting.
• Your executor shares your Legacy Letter (if it hasn’t already been shared) to offer final words of wisdom and maintain familial unity.

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Written by Farooq Maseehuddin

Farooq Maseehuddin (MuslimMoney Guy) is a financial educator and writer. He holds both a Bachelor of Education (BEd.) and a Master of Education (MEd.) from the University of Alberta. He's been a high school teacher and Muslim community organizer for two decades.