The Importance of Having a Will
Protecting Your Assets and Your Loved Ones
Death is an uncomfortable topic for most people. Many of us don’t want to think about it, and planning ahead for it is even more of a mental and emotional struggle. To make matters even more difficult, creating a will can be a confusing process with numerous details factoring into the equation. Because of all that, an estimated 65 percent of Americans don’t currently have a valid will.
Unfortunately, passing on without a will can cause quite a few complications for your loved ones. It may leave your family vulnerable to financial and legal difficulties and can even cause rifts between your loved ones. If you have yet to create a will, this would be an opportune time to request a consultation with an estate planning attorney. In the meantime, consider some of the reasons why having a solid, valid will is so important and the potential consequences of not having one.
What Are the Consequences of Dying Without a Will?
One of the main reasons you need a will is to ensure your final wishes are carried out after you’re gone. You could certainly tell your loved ones what your intentions are, but there’s ultimately no guarantee they’ll be followed. Without having a valid will in place, you’ll leave behind numerous loose ends, unanswered questions, and potential loopholes. With that being said, let’s delve a bit deeper.
Asset Distribution
Most people assume that once they die, their belongings will automatically be passed along to their closest living relatives. They also pass on with hopes that their loved ones will be fair and amicable when dividing up their belongings. Sadly, that’s not always the case.
More often than not, when people die without a will, specific state laws determine who gets what. Though they’re generally based on a hierarchy of closest living relatives, people further down the line often get left out of the mix. On the other hand, those intestate succession laws may distribute some of your belongings to relatives you don’t want included in your legacy.
For example, say you’re living with a significant other but the two of you aren’t legally married. Still, you want the home you share and some of your financial assets to be left to that person. When you pass away, though, per intestate succession laws, the state would most likely award your home and money to your children and perhaps even a former spouse.
They, in turn, may decide to leave your current significant other with nothing. While he or she could fight that decision in court, it’s not likely to work out in his or her favor. That’s only one general example of how things could go wrong once you’re gone if you don’t have a will.
Providing for Your Children
Another reason a will is crucial is to ensure your children are provided for in every way. With a solid will in place, you can dictate who should be your children’s guardians if you pass away. You can also bequeath specific amounts of money, real estate, and other provisions to each of your children. You can determine at what age the children receive their full inheritances as well.
If you don’t have a will, all those points are left up in the air. In all likelihood, the state would determine who becomes the guardian of your children. That person may not be the best one to take care of them.
At the same time, the court-appointed guardian, relatives, business partners, and other people might take control of the assets you intended for the children. From there, they could do with them as they please. Once those people have taken what they wanted, there may be nothing left to provide your children with the life you want them to have.
Reducing Conflicts Among Loved Ones
Creating a will can also reduce conflicts among loved ones after you’re gone. Countless families have been torn apart by arguments over which belongings should go to whom when a family member passes away. Those points of contention aren’t always major assets like real estate or large sums of money, either. In many cases, they’re small items with relatively little financial value, such as pieces of jewelry, heirloom dishes, or even photo albums.
In most families, grief and greed inevitably take over following the death of a loved one. Arguments over seemingly insignificant items can cause irreparable damage. Having a will in place may not eliminate contention altogether. Still, it’ll at least leave little room for disputes over who gets what and minimize the resulting anger and resentment among your loved ones.
Important Elements to Include in a Will
As you can see, having a will is vital for ensuring your final wishes are carried out. It guarantees your loved ones are taken care of as you see fit and reduces ill will among your loved ones. To make sure your will is concrete and comprehensive, though, it’s important to include certain essential elements.
Trustees and Executors
- In estate planning, a trustee is a person who oversees any money or property you leave in trust for your loved ones. That person handles all the financial and legal aspects of the trusts and ensures they’re given to the proper recipients at the right time. An executor will manage your entire estate and dole out your assets per your will.
Guardians for Your Children
- You should also name who you want to be the guardian of your children if they’re still minors when you pass away.
Beneficiaries and Bequests
- You also need to list beneficiaries, or the people who should receive inheritances after you pass away. Be sure to specify what you want to bequeath to each of those people. Charities, businesses, and other organizations can also be deemed beneficiaries. If you want to ensure certain people don’t receive any part of your legacy, you can make that known in your will as well.
Some additional provisions may need to be included in your will. They’ll essentially help to ensure no details are left out and no one can contest any of your final wishes. Those could include how a family business should be handled, how your debts and final expenses are paid, and other specific instructions.
Protecting Your Family and Legacy
None of us know how many days we have left with our loved ones. Far too many people put off creating a will until it’s too late. That often leads to hardship and contention for their families. Having a will is crucial for protecting your loved ones and providing for their future after you’re gone. Thinking about and planning for what happens after you leave this world behind isn’t easy, but it’s certainly necessary. Consulting with an estate planning attorney can make matters simpler and help guarantee nothing is left to chance.
