The passing of a loved one is never easy, and it can seem even more difficult if relatives have to sort out financial and legal issues. That’s why a final will and testament is so important for everyone. To further press this point, let’s look at what happens if a person dies without a will or trust.
What Happens When There is No Will
A last will and testament does not settle all assets. Assets that are distributed apart from a last will and testament are as follows:
- Life insurance
- Joint bank accounts and real estate
- 401(k) Retirement funds with a valid beneficiary
- Anything attached to a TOD (transfer on death) account or TOD deed
Assets distributed in a will include solely-owned funds and property, such as houses, jewelry, heirlooms, individual bank accounts, etc. In the event that an individual passes without leaving a final will behind, everything shifts to “intestate succession.”
In intestate succession, state law designates the primary caretaker of the deceased individual’s assets until everything can be fairly distributed. Typically, the living spouse of a deceased individual receives the highest priority, followed by children and other relatives. The judge rules on who gets what based on the relationship and behavior of the living individuals to the deceased individual.
What Happens When Things Get Complicated?
Intestate succession is a complicated process. Especially when dealing with separations, divorces, estranged children, deceased heirs, etc. That is why everything goes to the judge. All aspects of the individual’s life are considered, including the cause of death and what their final wishes would have likely been if they were alive to state them.
Factors that often affect a judge’s ruling include stepchildren, adopted children, minor children, common-law marriage, pending divorce, and more.
The Importance of Creating a Will
Creating a will is an important part of planning for what happens after you die. This document lets you say how you want your assets to be divided up and who should take care of any dependents you leave behind. Without a will, the state will decide who gets your property and who takes care of your loved ones, which might not be what you want.
A will lets you choose a person to be in charge of carrying out your wishes. You can also pick who will take care of any children who may be disabled or minors. This helps to avoid fights and legal battles among your family members after you die.
Moreover, creating a will can also help to minimize the potential for conflicts among your beneficiaries and prevent legal challenges to the distribution of your assets. It can also provide peace of mind knowing that your loved ones will be taken care of in the manner you intended.
The Importance of Registering Your Will
You can ease the process of dividing your assets after you pass by making simple preparations. It does not end with just registering your will. Store your will in a secure place and make sure someone has access. In times of grief, people do not think clearly. If your will is hard to locate, this can add stress and even conflict in a family. With a will in place, you can keep any more frustration from happening. Keep a document listing your lawyer’s name and where everything can be located.
How the U.S. Will Registry Can Help
The “U.S. Will Registry” was founded in 1997 to fill an important gap. We provide families and beneficiaries with a means to find lost wills and estate planning documents of those who have passed away.