Estate planning should be a thorough and careful process. There are steps and tasks that you should never skip so that there is no chaos when you are no longer there to make decisions. Here are some of the things you must never skip as you are planning your estate.

Itemize Your Inventory

You will first want to go through the inside and outside of your property. As you are doing that, take note of everything that you own, and highlight the most valuable items—for instance, things like the home, television sets, cars, art pieces, and power tools. You might be surprised how long this list will be. As you are doing this, you can also start taking note of people who you will want to inherit some of the things when you die.

Follow up With Non-Physical Assets

Once you are done taking note of your physical assets, you will now want to proceed with all the non-tangible items you own. This includes the things you currently own and every other asset that is predicated on your death. You can include things brokerage accounts, 401(k) plans, IRAs, bank accounts, and life insurance policies, among others. Don't forget to add account numbers to this list as well. If you have any physical documents that are needed for these assets, you will want to list their location. Lastly, list all the contact details for the firms holding these non-physical possessions.

Assemble a List of Debts

You must also take time to make a separate list of all your open credit cards and other obligations you have. For instance, this list must include things like auto loans, mortgages, and home equity lines of credit. Also, don't forget to list all the information needed for these accounts. You can also include details about the location of the signed agreements and the details of the companies involved. Even those credit cards you don't use a lot must be listed here as well. There are some which might even be sitting in the drawer unused.

Make Copies of Your Lists

Once you are done with these lists, it is important to date, sign, and store them properly. Also, make copies of at least three. You can give the original copy to the estate administrator. Give a second copy to your partner and place another one in a safe deposit box.

Select a Responsible Estate Administrator

You need someone who will be responsible for administering your estate when you are no longer there. It is crucial to select someone who is responsible. Apart from that, they must be in a good mental state so that they can make sound decisions on your behalf. Most people make the wrong move of assuming that their spouse is the best candidate for being an estate administrator. However, this is not a good idea. The selection of candidates for this role should be based on more than just your relationship with the person. Instead, you must focus on the person's ability to make sound decisions. If you start seeing issues in how they handle certain things, you can look for more qualified individuals.

Draft a Will

You must have a will. This is a book that will help people decide how their assets will be distributed. A will can prevent a lot of havoc when you are no longer there to speak for yourself. You can also include in your will information about who will become the guardian of your children after your death.

A will is not expensive. However, that doesn't mean that it's not effective. On the contrary, it is one of the most important, if not the most important, estate planning documents. You can find estate planning attorneys who will help you draft a will that will be admissible in court. Usually, a will does not cost more than $1,000. However, this also depends on your location. Some people prefer to write their own wills with the assistance of an online tool. However, the best way is to have someone who has a lot of experience dealing with wills help you out.

Make sure that there is a signature and date on your will. You must also draft it in front of at least two witnesses. These estate planning witnesses must be non-related, and they must also sign the will. Lastly, you must ensure that there are people who know where you are going to store the document. It will be pointless to draft a will that no one will find when you are not there anymore.

Once you are done preparing the documents, you must ensure that you review them once every 24 months. This should also be done whenever there is a life-changing chance. For instance, if you get a divorce or upon the birth of a child. If you need help planning your estate, you can get in touch with us today. We have a lot of experience helping people successfully plan their estates. Therefore you can trust us for sound advice and services.