By Debra A. Verni, Esq.
Only about 40 percent of adults in America
have a will, which may not be entirely surprising. No one wants to be reminded of their own
mortality or spend too much time thinking about
what might happen once they’re gone.
Many people are uncomfortable discussing
how they will distribute their estate with their
children. Perhaps you don’t want your children
to realize how much they may receive after your
death. Or you may think your choice of heirs
could change in the future.
However, if you don’t discuss your estate plan,
disagreements and conflicts could erupt once the
details of inheritances are revealed.
For instance,
siblings may resent each other if distributions are
not equal. Children may resent a spouse from a
second marriage if they feel that spouse is using
up their inheritance. At that time, you won’t be
able to explain your thoughts and wishes regarding
the distribution of your estate.
Discussing your estate plans will give you an
opportunity to inform your children about the
distribution of your estate and why you decided
to do it in that manner. You can go into specific
detail, informing children how each asset will be
distributed, or you can give a general overview of
your estate plan. If you have selected one child
as executor or trustee, explain why you chose
that individual. As an alternative, you can leave
a personal letter with your estate planning documents
explaining these items.
Even if you reveal your plans to children, you
may also want to include a personal letter. In
that letter, include information about death and
other benefits, special wishes, who should receive
personal effects, your cemetery and funeral preferences,
and the location of your safe deposit box
and important documents.
At a minimum, specify where the following
documents are located: income tax returns, life
insurance policies, other insurance policies,
investment details, a list of household contents,
outstanding loan documentation, automobile
titles, important warranties and receipts, checking
account information, credit card details, and
information about your home. This letter will
help your heirs identify all assets and benefits
and avoid speculation about your wishes.
Preparing the letter will also force you to
organize your records and make sure all important
documents can be easily located. Since the
information is likely to change, review the letter
at least annually.
You have worked hard to create a legacy for
your loved ones. You deserve to decide what
becomes of it.
Verni is a partner with the Herzog Law Firm
PC, which has an office in Saratoga Springs.
Photo Courtesy Herzog Law Firm PC