As the year comes to a close, many individuals may reflect on any recent changes in 2019. Some people purchased new property, some got married or divorced, and some experienced the birth or death of a loved one.
When you create testamentary documents, you leave behind a set of instructions and directions to be carried out by the designees you have chosen. However, many designees are spouses or adult children, and only have to perform in this capacity once or twice in their lives.
Drafting a will can be a complex task for some individuals. Some people have children from different marriages or are estranged from certain individuals. In some cases, people may have drafted a will earlier in their life and did not update the will to reflect changes such as births, divorces, ownership of new property or the acquisition of specific possessions over his or her lifetime.
Estate planning involves many different considerations. Two of the biggest ones are what to do while you are alive and cannot make decisions, and who will look after your affairs after you have passed.
If a loved one passes away without a will, his or her estate will be distributed along legislative guidelines. This means that the will be distributed in accordance with a set of rules as which surviving family members gets which parts of the estate.
The marriage and divorce of two people can have a large impact on your estate planning documents. Generally, its best advised to re-evaluate your testamentary documents such as wills, powers of attorney and insurance policies each time you pass a major life milestone, such as getting married, buying property, having children, or filing for divorce.
Many people may not be aware of what happens to their assets if they pass away without a spouse or children. Whether you are married or not, or have children or not, a will is an important tool for you to bequeath your possessions according to your preferences.
When you pass away without a will, your possessions and wealth are divided along legislative guidelines. These guidelines are fairly generic – which can be problematic since no two families are alike.
Having a valid will at the time of someone’s death can help reduce the stress of sorting through someone’s estates. A valid will allows beneficiaries to receive assets as the recently passed intended. It also allows the surviving family to avoid intestacy laws, which means dividing assets per legislation.
An estate plan is more than just a will. It allows you to distribute your possessions, as well as protect your wealth, well-being, and provisions for dependents. If you do not have a will, your assets will be distributed per provincial legislation, not according to your specific wishes.