Last Will and Testament

• Understanding a Will

• Appointing an executor in your will
• Wills bequeath property to heirs
• Who needs a will?
• Common excuses for not creating a will:

Understanding a will

Most people have heard the term "will" but may not know what it does. A last will and testament is primarily a legal document that distributes your property after you die. But it can do much more.

A will can be simple—a few instructions on paper—or complex, with detailed provisions about multiple assets and conditions. You have considerable freedom in what you include, as long as it complies with your state's laws.

You have a lot of freedom to decide what your will says, as long as it follows the laws of the state where it will be carried out.

A will is a legal document that, when properly executed, is legally binding. Courts take wills seriously because the person who wrote it cannot explain or modify it after death.

Courts rarely overturn a will unless it violates the law, the writer was incompetent or under pressure when they wrote it, or circumstances have changed so dramatically that the writer clearly would have changed it.

Write every part of your will clearly, and keep it up to date. If your will no longer matches your wishes, a court will still follow it in nearly all cases—which is why it matters to get it right.

Appointing an executor in your will

Your will should name an executor—the person who will handle your estate after you die, including paying final bills and distributing assets. If you die without a will, your state's intestacy laws determine how your property is divided, and the court appoints an administrator to oversee the process.

If family members disagree about who should handle the estate, the court will typically appoint a neutral third party—who will charge the estate for their services.

Wills bequeath property to heirs

A will lets you name your heirs and specify how your property will be divided. Without a will, state law controls the distribution, and the results often surprise families. For instance, if you have children, not all of your property automatically goes to your spouse.

For more information on executor duties and property distribution, consult an attorney or your state's probate court.

Who needs a will?

Everyone needs a will. Some people skip it because they think they don't have enough assets. Others assume their children know how to divide things up, making a will seem pointless.

You should have a will whether your estate is simple or complex. Not all wills require an attorney, but consulting one is usually worth it—it prevents misunderstandings and ensures your will meets your state's requirements. Even if your family members think they understand how to divide your assets, small misunderstandings or undocumented wishes can cause real damage to family relationships.

Common excuses for not creating a will:

"Everybody already knows who's supposed to get what." OR
"In my desk drawer there's a list of my possessions, and the persons to whom they should be given." OR
"I don't have much. The kids can just come in and divide it among themselves however they decide." OR
"I put name tags on the bottom of every nick-knack and piece of furniture, so they'll know who gets it." OR
"Last year I put all my money in a joint account with my oldest daughter. After I die, she knows to split it three ways with her brothers."

People can surprise you

These informal arrangements rarely work as planned. Without a will, your wishes are unenforceable. Families can fracture over property disputes, even minor ones. Many people recognize this problem in others but believe their own children will respect their wishes and avoid conflict. That assumption is often wrong.

Even if your children would cooperate, what about their spouses? In-laws can create problems, sometimes with the best intentions but often by meddling in decisions that are not theirs to make.

Without a written will, nothing stops someone like a pushy in-law from influencing how your daughter divides your assets. A clear will removes that possibility.