Whether you’re just starting a family or entering your golden years, it’s never too late to create a will.
A will helps ensure that your wishes are carried out after you die, and nobody knows when that will happen.
It could happen tomorrow or in fifty years. That’s why it’s crucial to create a will sooner than later.
In this article, we’ll go over what a will is, six essential items it should include, and more.
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Table of Contents
What is a will?
A will is a legal document that sets forth your wishes regarding your assets and any dependents after your death.
You can create one yourself or have an estate planning attorney help you prepare one.
Either way, a will (formally known as a “last will and testament”) helps ensure your wishes are realized when you’re no longer around.
Personal information
One of the first things to include in your will is your personal information, such as your full name, birthdate, and address.
You should also include your marital status and list your spouse and any children.
Testamentary intent
Testamentary intent is your way of showing that the document is indeed your will.
Usually, this is done by including a sentence like “This is my last will and testament.”
It may seem small, but it helps prevent confusion.
Assets and beneficiaries
List any and all assets that you want to leave to others after you die.
This could include money, investments, real estate, vehicles, businesses, and more.
Designate beneficiaries for each, whether they be a spouse, children, friends, charities, or others.
You can also bequeath things of sentimental value, such as jewelry and heirlooms (so that it’s clear who gets it and family doesn’t fight over it).
It’s also smart to include contingent beneficiaries—people who will receive the asset if the primary beneficiary is unable to for some reason (e.g. because they are no longer alive).
If you don’t choose beneficiaries, a probate court will decide how to distribute your estate for you.
Appointment of executor
An executor is a personal representative tasked with carrying out the terms of your will.
They will be responsible for settling any unpaid debts, filing your last tax return, and distributing the estate.
This could be a family member, a lawyer, or someone else.
Whoever it is, make sure they are willing to accept the responsibility.
You can even choose to pay your executor by leaving them a part of your will.
Just make the arrangement clear in your will.
Otherwise, a probate court will choose an executor or administer your will for you.
Appointment of guardian
If you have any minor children, you can appoint someone to be their guardian in the event that you and your spouse pass away.
You can also put them in charge of managing your inheritance for your children until they reach an age when they can manage it themselves, such as eighteen.
Dependents can also include adult children with disabilities or elderly parents.
Again, make sure your designated guardian is up to the task and consider appointing a contingent guardian in case your first choice falls through for some reason.
Signatures
To make your will legally binding, you’ll need to sign it.
Most states also require that two adult witnesses sign your will as well, confirming your identity and mental capacity to create a will.
Check your state laws to see what’s required.
Optional items
Some additional items you may want to put in your will include:
- A durable power of attorney (DPOA), which grants someone the legal right to make health care and medical decisions for you in the event that you can no longer make such decisions for yourself (e.g. due to dementia).
- Definitions of terms to make your will absolutely clear and avoid confusion.
- Funeral arrangements so that your family knows what to do. Just bear in mind that your family may not have time to find and execute all of your wishes.
What not to put in your will
Some things not to put in your will include:
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- Assets that already have a designated beneficiary such as a life insurance policy or a retirement account with a listed beneficiary.
- Properly owned jointly or held in trust since these already have clear owners once you pass away.
Revisit your will periodically to make sure it still represents your wishes and make any needed updates.
Once a year on your birthday is a great time to do this. And if you need help, be sure to consult a reputable estate planning attorney.
They can help ensure your will covers nearly every foreseeable question that could come up when you die.
