I wanted to share some crucial information with you that I recently came across regarding getting your affairs in order. It’s something many of us tend to put off, but taking these steps can greatly ease the burden on our loved ones in the future!
- Beneficiaries on Financial Accounts: Ensure all your financial accounts have designated beneficiaries. This simple step can streamline the process for your loved ones to access these funds after your passing, requiring only a death certificate and ID.
- Transfer On Death Deed (TOD): If you own a home, consider completing a TOD deed and filing it with your county. This can save your heirs considerable time and money by avoiding the probate process.
- Legal Documents:
- Living Will ~ Specify your healthcare & final preferences in writing,
- Durable Power of Attorney ~ Designate someone to make legal decisions on your behalf if you become unable,
- Power of Attorney for Healthcare ~ Appoint a person to make healthcare decisions for you,
- Last Will and Testament ~ Clarify how your personal belongings should be distributed. Designate the Administrator. Remember, beneficiaries listed on financial accounts override what’s written in a will.
- Funeral Planning Declaration: Clearly outline your wishes for your final arrangements.
If the above documents are complete and in order, you can AVOID probate!
If the above is NOT in order, you will have to open an estate account with the bank. Any money that does not have direct beneficiaries will go into this account. You have to have an attorney open the estate account. The attorney will also need to publicize your passing in the newspaper or post-publication at the county courthouse, to allow anyone to claim your property. It is a P-A-I-N!
Some final helpful hints to wrap up this PSA!
DOCUMENTATION, DOCUMENTATION, DOCUMENTATION!
Make a list of all your bank accounts & numbers, investment institutions & account numbers, credit cards, utilities, etc. Leave clear instructions on how and when these things are paid.
Ensure your heirs know where to find your life insurance policies.
Make 1000% sure someone you trust knows your login information for important digital accounts like Apple ID, bank accounts, and more!
Keep titles for all vehicles, campers, etc. in a safe place.
Consider setting up trusts, especially for those beneficiaries who are too young to manage their inheritances, especially those who are under age 18, as they typically cannot legally claim their inheritance.
Most importantly, it’s essential to communicate your wishes with those who are closest to you. Discussing these matters openly can help avoid confusion and ensure everyone understands your decisions!
I hope this checklist gives you a helpful starting point for you to organize your affairs. If nothing else, we hope this list encourages you to start this important conversation! Taking these steps now can provide peace of mind for you and your loved ones in the future.
