Top 5 Tips for Getting Ready to Create Your Will

Assets: the first thing you want to do is make a list of all your major assets.  Consider whether you would like to gift them as they are or whether you would like them to be sold and the value gifted to your beneficiaries.

Beneficiaries: the next step is to list the names of the beneficiaries and what each one will receive. You can gift specific items to individuals, such as an antique watch to your child or a car to a friend.  In addition to specific gifts, you can divide the value of any remaining assets to one or more beneficiaries. When gifting money or value of assets to more than one person, it is recommended that you give a percentage to each person – not a set amount.   Although both practices are acceptable, leaving a set amount may be problematic if there are insufficient funds in your estate when you pass away.  Each estate is unique and your lawyer should help you create the right structure for your estate planning.

Executors: you will need to name one of more people to administer your estate – they are called your Executors.  Their duty is to ensure that your wishes, as set out in your will, are followed.  They must safeguard the assets, pay all your debts, pay the appropriate taxes, and then release the funds to your beneficiaries.  The executor can be your spouse, child, friend, a Trust Company, a professional such as a lawyer, and so on.  They must be over the age of 18 and have mental capacity.  Being an executor is a big responsibility and as such, it is important that you select someone you trust and who is capable of managing the responsibility.  Of course, the executor will be permitted to hire professionals such as accountants, lawyers and property managers to assist them, as needed.

Guardians:  if you have minor children or adult children with disabilities, you will need to name an adult to care for the children until they are at least 18 years old.  It is a good idea that you name one person and an alternative person in case the first nominee is unable to act as the guardian.  Naming more than one person to care for the child can become problematic.  Talk to your lawyer about what would be in the best interest of your child.

Guardian of Property: the person who cares for your child does not have to be the same person who takes care of the finances for the child – although it can be.  The guardian of property for the child should be someone who is competent in managing money and assets.  The guardian of property will be required to “pass accounts”.  This means they will be required to keep all receipts and proof of payment for all interactions made from the child’s inheritance.

Once you have considered the above, you are ready to discuss your estate planning with a lawyer and obtain legal advice on the best approach to structuring your estate.