Having a basic estate plan is important and should be done as soon as possible. This is true regardless of a person’s age, their family situation and financial circumstances. To grasp the value of a will, it is important to know the basics.
A will can dictate how property will be distributed
When a person – known as the testator – creates a will, it gives them a sense of certainty as to where their property will go after they are gone. Failure to create a will means the person is dying intestate and the property will go to relatives in a specific order, regardless of what the person might have wanted.
The will needs to be valid. Anyone at least 18-years-old can make a will. While it might not seem necessary for someone younger to have a will, they could have a situation that makes it wise such as having children. The person writing the will needs to be of sound mind. They need to know they are creating a will, have a grasp of their property and know their descendants and relatives.
It can dictate how property will be parceled out after the testator has died. If, for example a person owns a home, has a business, has sentimental items, automobiles and anything else, it can be mentioned in a will. Wills can be updated as necessary. A person who got married after they wrote the will might want to change it to include their spouse. The same holds true for people who were married at the time and got divorced. Having children is another reason to update a will.
People should not ignore the need for an estate plan
It is tempting to say that a will or other estate planning option is not urgent. Still, people need to think about the future and protect their loved ones. Having a will can achieve that and avoid complications after they are gone. To know the value of an estate plan and create one that addresses the person’s needs, it is vital to be aware of how to move forward.