Writing a will is one of the most thoughtful things you can ever do for your family. It is not just about distributing the money and the assets; it is about giving your loved ones peace when you are no longer around.
People make many mistakes when writing a will that can later create difficulties for their family.
The following are the common mistakes that people usually make when writing a will.
1. Forgetting Assets
When documenting the assets intended for inheritance by loved ones, many individuals recall the physical items like cars, homes, and watches. However, they often neglect some of the less tangible assets.
If you possess considerable assets, accurately determine whether you own them solely or jointly with someone else. It may be beneficial to categorize your assets and record an estimated value for each one.
2. Failing to Select a Reliable Executor
An executor is responsible for fulfilling the deceased’s wishes as documented in their will. Occasionally, individuals choose someone who is unwilling, incapable, or simply not suited for this role. This can result in conflicts, delays, and potentially legal disputes.
Many people mistakenly believe that the executor must only be a close family member. A good executor is the one who is trustworthy and honest, financially responsible, emotionally stable, and detail-oriented. When selecting, evaluate the strength of the executor, look for the willingness, and have a discussion with the executor.
3. Forgetting Taxes
When writing a will, most people focus only on who gets what, but the major mistake that people make is not caring about the taxes. When a person passes away, his total estate goes through a tax calculation, which is an inheritance test. People usually ignore the inheritance test threshold, do not consider the spousal exemption, and forget about the charitable donations.
You can avoid these problems by consulting a financial advisor, by planning asset distribution wisely, by using gifts and trusts, and by reviewing your will regularly.
4. Failing to Keep Your Will up to Date
A very common mistake people make after writing a will is forgetting to update it. With the passage of time, relationships, finances, and family situations change; it is very important to reflect these changes in the will. If you will not update your will, the old version will remain legally valid.
You should update your will after every major life change, such as after marriage or divorce, after the birth of a child, and after major financial changes. You can update the will by two methods: either by adding a codicil or by writing a new will.
5. Not Following Legal Formalities Properly
A will is a legal document that has strict legal formalities. If you do not care about these formalities, the will can be declared as invalid. The common legal mistakes include not witnessing the will, making the beneficiaries the witness, signing incorrect wills, and storing the will improperly.
You can make your will legally valid by writing clearly and legibly, signing in the presence of two witnesses, dating and initialing every page, and storing the original documents.
Final Thoughts
Writing a will is not about death; it is about life and love. By avoiding these common mistakes, you can make a huge difference for your family’s peace.
