Most people have heard of wills. However, most people also don’t think that a will applies to their lives, at least not until they get older. Over half of the population is currently without a will.
There are several reasons for this, but one reason could be that many individuals don’t realize the precise benefits that a will can offer. Here are two key functions of a will to consider.
1. Distributing assets
When a person dies without a will, they die intestate. This means that the court will examine the estate and distribute assets according to state intestacy laws. The problem with this is that legal entitlements to inheritances don’t always go the way people think they ought to.
The best way to ensure that assets are passed on to the right people is to name those people as beneficiaries in a will. This way, even if someone tries to claim certain assets, the wishes of the deceased are clearly stated in a legally binding document.
2. Child guardian
A will is largely about assets, but that’s not all. Parents of minor children can name guardians in their wills. The guardian is an individual or people nominated to raise the child according to a lifestyle that the parents would have wanted.
When thinking about guardians, it’s important that parents consider:
- Their age and physical capabilities
- Their relationship with the child
- Their financial situation
- Their specific traditions, religions and lifestyle choices.
These are just two key functions of a will, there are several more. To get up to speed on estate planning tools, legal guidance will be helpful.