Why Does A Will Matter?

Did you know that only 24% of Americans have a will?

Let’s look at a few common misconceptions people have about making wills.

Myth 1: I Don’t Need a Will

Maybe you don’t have much in the way of assets, so you think a will is not necessary.

But if you have children or you’re married, then there are benefits to having a will in place.

Let’s start with why you need a will if you have kids. It’s difficult to think about but consider this: If something were to happen to you, the state would decide who raises your kids if you don’t have a will in place. Of course, if you share custody or you’re married, then the other living parent would typically get custody. But if you’re the sole custodian or something happens to both parents, then having a will allows you to name personal and/or financial guardians.

What if you’re married, but don’t have any kids? Well, without a will, the state decides how to allocate your money or any other assets if something were to happen to you. How they do this depends on the state. But it can be time consuming, involve freezing your assets, and require part of your estate to go towards paying probate fees.

And if you have a partner but you’re not married — even if you live together — your partner might not be considered to inherit any part of your estate at all.

Myth #2: My Spouse Will Automatically Get Everything I Have.

A common misconception amongst married people is that — without a will — the surviving spouse will automatically get everything the other person leaves behind.

Unfortunately, it’s not always that simple. What your spouse gets will depend on the state you live in and the type of assets you leave behind. Intestate is the term used to describe someone who dies without a will. And every state has laws in interstate succession laws in place to determine how your property gets passed on.

Creating a will ensures your loved ones are protected. There are free electronic Will templates available.

How Do You Make Your Will Legally Binding? Will explore this topic next week. Please stay tuned.