Part 2 of 12

WHAT HAPPENS IF YOU DIE WITHOUT A WILL?

If there is no will whatsoever, severe problems can arise. Without a will (intestate) you, in essence, have condemned your estate to an unnecessarily prolonged and expensive wait.

What happens is that your local court appoints an individ­ual who will administer the distribution of your property in accordance with the laws of your state.

However, with a will, it becomes your decision—not that of an outside administrator—as to what happens to your estate. And what about minor children?

If you and your spouse do not have a will and you both should die at the same time (an auto accident is a common occurrence), a court will render a decision about who will raise your children. Is that what you want to happen?

By drawing up a Will, you name a guardian and a trustee to work with your finances for the children’s benefit. If there are no surviving relatives the estate will go to the state, a process known as escheat.

What Criteria Must Be Met Before Drawing Up A Will?

A will is a written statement by a person stating how they want their property disposed of at death. Before you prepare a will, you should understand that all wills must meet certain general requirements:

1. You must be 18 years of age or an emancipated minor.

2. You must be of sound mind:

a) Know what a will is and what it does

b) Understand the relationship between you and your immediate family members

c) Know what property you own

d) Understand who the people are to whom you are leaving your belongings (who your beneficiaries are)

3. You must expressly state that this document is your will.

4. You must sign and date the will.

5. You must have the will signed (attested) by at least two or three witnesses — the number of required witnesses depends on state law. In addition, many states require that the witnesses are not related to you and are not beneficiaries.

6. You must have substantive provisions that:

a) Nominate a legal guardian for any minor children

b) List who inherits specific items

c) State what happens to remaining property (residue) not mentioned in the will

7. You must appoint an executor who will be:

Responsible for supervising the distribution of property;

Responsible for paying all of your debts and taxes;

THOUGHT FOR THE WEEK

“If life is so short, why do we do so many things we do not like and like so many things we do not do?”