You are never too young to start an estate plan. Now is always a good time. Don’t worry; having an estate plan does not mean you are preparing for your death; an estate plan is a way to ensure you are taken care of when you cannot care for yourself and then distribute your assets when you pass away. One item to prepare is a ‘when I die’ folder. A ‘when I die’ folder is efficient and helpful to those you love. It also helps ensure you have considered all debts, assets and interests that you should include in your estate plan.
When building your ‘when I die’ folder, you want to make sure of 2 things: the folder is in a safe place, and you tell at least one person about this folder. After all your hard work, you want to ensure your loved ones know about it and can find it after you are gone.
5 Items to Put In A ‘When I Die’ Folder
- Legal Documents. You’ll want to have your legal documents in one place. Organizing your them helps ensure they stay safe and are easy for your loved ones to find after you pass away. These can include:
- Will or trust – A will may include more than a list of assets to be distributed. It may also involve naming a guardian for your minor children and choosing someone to care for your pet. There are distinct differences between a will and a trust, and an estate planning attorney can help you decide what is best for you.
- Power of attorney – This allows you to name someone to handle your financial and daily affairs when you cannot. They can pay your bills, file taxes and sell any property necessary. You can restrict a power of attorney, only allowing what you want them to do.
- Healthcare directive – This document tells your doctors and loved ones your medical wishes. If you are incapacitated (either from an accident or age), a healthcare directive tells if you have a DNR (Do Not Resuscitate), your wishes on blood transfusions, your end-of-life wishes, and more.
- Financial Information. When you pass away, the executor of your will and your loved ones must know your financial accounts. Having it all in one place allows your family to manage and close accounts without the stress of searching for details. These may include:
- Banking accounts – include your checking, savings and CDs that you may have purchased
- Retirement or IRA
- Investments – this can include stocks, bonds, bitcoins or any investment information.
- Insurance
- Debts owed – all monthly, quarterly or yearly debts, including utilities, credit cards, subscriptions and more
- Mortgage company – list your mortgage company and their contact information. This way, your loved ones can contact them to either buy or sell your home.
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* Bonus Tip *
If you have specific wishes for your funeral or burial, include the details in your ‘when I die’ folder. You may also add your obituary or any notes. Since the will is usually read after your burial, you want this information accessible before then.
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- Insurance. We mentioned insurance located in your Financial Information section, but that can be broken down more. Having the provider information in one place will make contacting each company easier for your loved ones. Your insurance can include:
- Digital Information. When you pass away, your family may need to access your digital information. Your loved ones need to know the digital information and passwords. Leave a secure list of your online login and passwords. You can also give your loved ones access to a Password Manager to prevent them from being locked out of important information. Some digital asset accounts may include:
- Social Media – you may want to close these accounts or have your loved ones set them as a memorial.
- Email
- Blogs
- Work information
- Financial accounts such as Venmo, PayPal, or CashApp
- eBay, Amazon, Etsy or other accounts
- Important Contact Information. When you pass away, the executor must contact all family members and those listed in your will. It is much easier to have this information written down in one place. The list may also include employer information, financial advisors or anyone else you feel may need to know about your passing.
Working With An Estate Planning Attorney
You can prepare the ‘when I die’ folder on your own, but you may want to consult an experienced estate planning attorney to bring everything together. Your estate plan can be complicated or fairly easy – depending on your wishes and assets. But at a minimum, your estate plan should include:
- A will or trust
- Healthcare directive
- Power of attorney
An attorney can help you meet Illinois legal requirements for an estate plan. For instance, did you know that you cannot write on your will to add, delete or change it? You must either write a new will or add a change document to specify the differences. If you simply cross out a beneficiary’s name and change it to someone else, this will cause a legal battle. The person you decide to take out of your will can challenge the will, causing a delay for everyone. And this delay will also cost your beneficiaries money to settle the dispute.
An estate planning attorney can help you build a legally strong estate plan. One that includes your final wishes and ensures they will be carried out as you want. Without an attorney, you are vulnerable to mistakes and traps.
Oak Brook Estate Planning Attorney
Please contact us to schedule a free consultation if you have questions about building an estate plan and your ‘when I die’ folder. To learn how an estate planning lawyer could help you, call us at 630-864-5835.
Areas we serve: Cook, DuPage, Kane, Lake, Kendall and Will counties.
