A Will is a basic estate planning document, but it may not work the way you think it does. A will isn’t just about passing assets; it’s about making things easier for your loved ones and ensuring your wishes are carried out.
Today I’m going to talk about everything from what a will is, to common misconceptions about wills.
What is a Will?
At its essence, a will is a person’s testimony describing how they want their assets handed down. Making a will lets you distribute your assets the way you want. Without one, your estate follows a strict statutory plan. You also have the opportunity to nominate who will administer your estate or who you would prefer to serve as guardians for your children. If you don’t have a will, the state decides who receives everything you own.
What Can You Include in a Will?
Your will is an expression of your preferences. It guides the court in the administration of your estate, the distribution of your assets, and even the care of your minor children. You can address all the following in your will:
- Who gets what – Whether it’s your home, savings, or even sentimental items, a will makes sure your belongings go to the right people.
- Guardians for your children – If you have minor children, this is one of the most critical decisions you can make. A will allows you to name guardians, which the court will favor over any other request to be named guardian.
- An executor – This is the person who will handle your estate, pay off debts, and ensure your wishes are followed.
- Charitable donations – If you want to leave a portion of your assets to charity, you can specify that in your will.
What Happens if You Don’t Have a Will?
If you pass away without a will (known as dying intestate) your assets will be distributed based on state law. That might mean your spouse doesn’t inherit everything, or your children receive assets in a way you wouldn’t have chosen.
Without a will, the court must choose an administrator for your estate and guardians for your children, without the benefit of your input. You have the power and control over these important decisions when you create a will.
Without a will, your estate is subject to the default statutory rules. If those don’t align with your wishes, you need to consider having a will.
Common Misconceptions About Wills
You might be putting off creating a will because of misunderstandings about what it does (or doesn’t) cover. Let’s clear up some of the biggest myths.
- Wills avoid probate. The biggest myth is that having a will lets your estate avoid probate. The complete opposite is true. A will must go through the probate process to be validated and effective. The benefit of having the will rather than an intestate administration, is you made the big decisions based on what is best for your family, rather than a judge making those decisions or a statute dictating how your estate is divided.
- Settling scores. Contrary to what some people might believe, the dramatic “reading of the will” only happens in movies. You might make some hard choices about the distribution of your estate, but it is unlikely that your family will be gathered together only to discover you left your money to your cat.
- “I don’t have enough assets to need a will.” – A will puts you in control of how and to whom your assets are distributed. Even if you don’t own a lot of property, you still have belongings and sentimental items that should go to the right people. Having a will isn’t about your wealth, it’s about making personalized choices for you and your loved ones.
- “My family will just split everything fairly.” – Without a will, state law dictates how your estate is divided — and that might not align with what you consider fair. Also, what if they have a different idea of what is fair? Do you really want to leave it to them to decide?
- “I’m too young to need a will.” – Life is unpredictable. If you’re over 18, you might need a will, especially if you have children or own property.
- “Once I make a will, I’m done.” – Your will is a living, breathing document that needs to be updated periodically — especially when a major life event has happened. Events like the birth of a child, marriage, divorce, or significant changes in your finances.
- “A will controls everything I own.” – A will doesn’t override non-probate designations. The most important thing is to make sure that you don’t have conflicting documents. For example, if you named your brother and sister as beneficiaries on an investment account, that designation still stands. Even if your new will leaves everything to your spouse, it won’t override those beneficiary choices.
When Should You Make a Will?
The short answer? Now! There is peace of mind that comes with having a plan in place. You don’t want your family to be scrambling around trying to figure out what to do when you pass away. Remember, any major life events (like getting married, having children, buying a home, or starting a business) — are perfect reasons to update or create your will.
Even if nothing major changed in the last few years on your end, it’s still good to review your will every couple of years. Laws change, relationships evolve, and your priorities may shift over time.
What Happens After You Create a Will?
Once you’ve drafted a will, there are a few important next steps:
Sign it properly – A will must be signed in accordance with your state’s legal requirements. Usually, you’ll have to have witnesses present.
Keep it stored safely – It’s important for your executor to know where your will is, so be sure it’s in a secure location (such as a fireproof safe).
Review it regularly – You need to review your will every five years or so to make sure your wishes are still current and correct.
Communicate with your family – While you don’t have to share every detail, it’s helpful to let your loved ones know that you have a will and where you keep it.
When the time comes, your will must probate to be effective. Probate is a court process that seeks to validate the will, appoint the executor, ensure that creditors and heirs are notified, and the terms of the will carried out in a timely manner.
Schroeder Larsen Law Makes it Simple!
I know creating a will might feel overwhelming, but it doesn’t have to be. I’m here to guide you through the process and make it as smooth as possible. I can answer any questions you have, and also make sure your wishes are outlined clearly. Need to create a will from scratch? I can help you get started! Has it been a while since you last reviewed your will? Contact me and let’s make sure everything is up-to-date. Click the link below to schedule a call with me, I look forward to hearing from you!