What is the difference between a bequest (waṣiyyah) and a gift (hibah)?

The difference between a gift (hiba) and a bequest (wasiya) is clear: a gift is what the giver hands over to the recipient during his lifetime, and it becomes the recipient's property, provided he takes possession of it before the giver's death or bankruptcy. As for a bequest, it is not executed until after the death of the testator and becomes the property of the legatee immediately upon death. Furthermore, a bequest is not permissible for more than one-third or less, whereas a person may gift all that he owns.