A young family with two beautiful young children was recently left in a financial and emotional turmoil after both parents died in a car accident when travelling abroad. Both sides of the grandparents lived in Europe. When the grandparents received terrible news they were at a loss of where to start and what to do for the grandchildren. The young couple had no estate planning documents of any kind: no will, no trust for the children, no powers of attorney. The grandparents were left to navigate the American legal system and guess about their children’s wishes as to who should raise the grandchildren.
So when should you think about preparing a will or a power of attorney? You should think about preparing a will when you have children, when your marital status changes or when you have a health concern. A will not only lets you express your wishes as to property disposition but also allows you to pick a guardian for your minor children. Those who do not plan ahead of time may invite future conflict among family members and allow state and courts decide what is best for their families.
Here are the most common excuses people have for delaying preparation of a will or a power of attorney:
- I don’t want to think about dying. No one wants to think about it but it happens. Some people delay planning even when they are sick. Do not wait to make major decisions for your loved ones, do you really want to create confusion and discord in your family by not care of your own affairs?
- It’s too much paperwork. There are essential documents that need to be assembled and most attorneys will give you a checklist of what to bring. The good news you don’t have to have every document for your first consultation, the most important thing is to make an appointment and go from there.
- It’s too expensive. You can get a will drawn or a trust prepared relatively inexpensively. Beware of generic sites or do-it-yourself sites as to be valid a will must be not only prepared right but also executed according to certain formalities. When you compare what your family will spend if you leave chaos, the will is really worth having and having done properly.
- I don’t have much to fight over. A car could be left to one relative, the proceeds of a life insurance policy left to a responsible person who will at least pay for your funeral. Your children are worth planning for, aren’t they? You maybe avoiding this selection because you can’t imagine anyone raising your children like you would. No one really can and they won’t be you. So find the next best you. You can select one relative to raise the child, and another, better at handling money, to manage the child’s inheritance.
Having a will or a power of attorney does not guarantee peaceful management of your estate. But without a will, decisions about your money, your belongings, and your children will be left up to state law and the things you value most could be given to someone you would have never chosen. Please do not assume people will do the right thing when they are grieving.