Like taxes, there’s one other certainty in our life and it’s not one that we like to talk about, much less plan for. But planning ahead of our death can save our loved ones a lot of time and confusion while they navigate during an emotional time. This summer, we unexpectedly my father-in-law, who passed away in early June. His passing served as a reminder of how important it is to have a clear estate plan and communicate your wishes in advance. Because his plans were in place, we were able to move through the settlement process more easily and take comfort in knowing that his funeral arrangements and charitable intentions were being honored.
The basics of estate planning ensure a smooth transition of assets but also include letting your loved ones know your burial/cremation plans, religious ceremony requests, celebration of life and charitable intentions. Having conversations with your family ahead of time can help reduce confusion, limit conflict and ensure your wishes are followed as closely as possible.
In addition to these conversations, have a written document that expresses your wishes. This informal document may include a list of financial institutions, account numbers, life insurance policies, company benefits, passwords, location of estate planning documents, storage units, funeral home, attorney, CPA, and financial advisor contact information. You may want to include specific instructions on songs that will be played or scripture to be read. My father-in-law loved a good glass of wine, so he made it clear to us through conversations and in his written document that we will have an open bar at his celebration of life. The over 300 people who came to honor him enjoyed that.
Estate planning is one of the most meaningful ways to care for the people you love. It allows you to make thoughtful decisions and share them with your family. Make sure they know your plans and have copies of your informal document that will help them navigate when the time comes. And once we have this crossed off our to-do list, we can go back to planning for that next vacation.
