When You Don’t Prepare for Estate Planning – The Importance of Documents

Without a letter of instructions and good organization, the heirs are forced to engage in the old-fashioned property and document search. Sometimes it is comical. Sometimes things get ugly. Always a lot of time and effort is wasted because of faliure to set up a properly document ones own Estate Planning strategy.

Estate planning advisors tell stories of important documents that never are found and of other documents that are found in the most unlikely places. Cash, jewelry, and other property are found hidden in the backs of closets, in attics, or under floorboards. Sometimes evidence of real estate or stocks is found stuffed where they are discovered only by accident. A little advanced planning can prevent most of these situations and ensure a smooth execution of the will.

When heirs remember seeing property, such as jewelry, or hearing the loved one talk about real estate, suspicions are aroused when the property or documents are not found during the estate settlement process. The result can be accusations, lawsuits, and broken relationships.

Don’t leave your heirs in this position. Prepare a proper letter of instructions and supporting documents. In the process, you probably will re-learn things about the estate you forgot and also realize that some important papers need to be replaced. Furthermore, make sure that the executor of you estate planning strategy and will has a copy of the letter of instruction, copies of all other relevant documents, as well as access to the original documents stored in a safe place.