If you’re thinking about writing your Will, the good news is - you’re making a good call. Every single adult should have a Will in place, because it protects their assets, their values and their families against the unexpected. When you have that document written up and taken care of, it reduces so much risk and stress, and it’s just one less thing to worry about. Unfortunately, over 50% of Australians haven’t taken that step. It’s often in the too-hard basket, because it seems complicated and confronting.
It’s actually a lot easier than you might think!
We’ve put together a checklist for writing your Will. Here’s how to get started and get it sorted.
The first step is to think about beneficiaries and decide who they’re going to be. A beneficiary is the person who is going to inherit your assets, and it’s an important decision to make. You might want to have a discussion with your chosen beneficiaries just to let them know your thoughts and plans, and keep them appraised.
For many people, the beneficiaries will be their spouse, children and close relatives. But you can also go a step further, and name charities or causes that you believe in as beneficiaries too. That’s a move that enables you to continue supporting the ideas that matter to you after you’re gone.
- Checklist item: Write out a list of your beneficiaries
You do need to determine what your assets are and what you’re going to be leaving behind. This can include your property if you have any, your shares and investments, your cash savings, items such as cars or collectibles etc. Anything that has value to you, either financially or emotionally, should be listed out in your Will.
Taking inventory at this step and going through what you have is important, so that each item is going to be accounted for and planned around. It may help to start with the most valuable of your assets and go from there.
- Checklist item: Write a list of your assets
There are some debts that could become the responsibility of your estate to settle after your death. That’s a complicated matter, and getting everything in a position where it doesn’t become a problem could require some additional advice, if your debts are substantial. For now though, the first step is just cataloguing and itemising what these debts are, and determining how much is owed where.
These debts could range from car loans to student loans to mortgages and credit cards. Getting a good and clear idea of where your estate’s financial health is at could help spare your executor a lot of trouble in the long run. It’s also just a good idea to have a strong handle on the current state of affairs as you sit down to start writing your Will.
- Checklist item: Catalogue your existing debts
The next step is to decide on an executor. This is one of the most crucial decisions you are going to make as a part of your Will. The executor’s job is to make sure that your Will is carried out and your wishes are followed, and a lot depends on their ability to get that done. You should choose someone you trust, who is capable of carrying out that quite serious responsibility, and have a discussion with them about your choice.
- Checklist item: Choose an Executor
Finally, if you have minor children at the time of writing your Will, you’re going to want to make some serious plans around their care and wellbeing. For starters, you will want to nominate a Guardian for your children who will look after them when you’re gone. This is a delicate matter, and you should not rush this part at all. When you have a shortlist of guardians, you should start to meet with them and talk about their willingness to take on the role and responsibilities associated with it.
- Checklist item: Make a shortlist of potential Guardians
Disclaimer: The content of this blog is intended to provide a general guide to the subject matter. This blog should not be relied upon as legal, financial, accounting or tax advice.