Sooner rather than later, you should begin thinking about end of life preparations. What do they entail? How do you go about getting a will? What and how much life insurance should you have? We go over all that in more!
Like it or not, we’re all going to pass away someday.
And while we certainly understand that end of life preparations aren’t the most pleasant or cheerful of tasks, it’s an essential way to ensure that your family is taken care of long after you pass away.
But what sort of final preparations should you make — and what should you start doing now to make sure your finances are in good working order?
If you want to avoid saddling your family with debt during an already trying time, then you need to start planning as soon as possible.
Keep on reading this post to find out a few of the most important personal and financial decisions that you need to make before dying.
1. Write Your Will
One of the most important things to do before dying — and even if you’re in great health right now?
Write your last will and testament.
This will help you to declare your executor, dictate who will take guardianship over any young children, and even determine the division of your personal and financial property and assets.
Your executor will be in charge of handling pretty much all of your decisions when it comes to dividing up your estate and carrying out your wishes. After you pass, the executor will take control through the process of probate court.
Also, you’ll need to get your will notarized, and should get two signatures from people who aren’t your beneficiaries to serve as witnesses.
Depending on the amount and number of assets that you have, you may need to speak with an attorney to help you to draw up a more detailed will. When it comes to your final preparations for the end of your life, few things are more important than a will.
This is especially true if you’re concerned that contention over your assets between children and spouses, etc., could occur after your death.
You should also take the time to write a living will, and designate a power of attorney to handle medical and financial designs if you become incapacitated.
2. Evaluate Your Insurance Policy
Of course, one of the most important end of life preparations that you’ll need to make is choosing the life insurance policy that’s right for both you and your family.
Though there are many different types of life insurance, the most common are term life and whole life.
Term life insurance lasts for a set number of years, and works for those who still have some major financial commitments to pay off. It’s also much more affordable than whole life insurance.
Whole life insurance comes with a cash account and, as the name indicates, lasts for the length of your life. This cash account will increase over time. You’ll have a set payment, and it’s easy to manage. Of course, it’s more expensive.
Find out more about other forms of life insurance, as well as Medicare Advantage and other forms of health insurance, by visiting the Neal Insurance Group website.
3. Organize Crucial Documents and Bills
When you are making your end of life preparations, it’s essential that you don’t neglect the details.
You may want to work with an estate planner to ensure that you have everything in order. You’ll need to get a copy of your life insurance plan, your retirement account/plans, and gather up any investment and bank account statements.
Also, be sure to keep a clear record of the kind of debt you’re likely going to leave behind.
Don’t forget about the little things — like passwords to accounts, your social media profiles, and even valuables and safe codes. Also, make sure you have copies of your birth certificate, your social security card, your driver’s license, your marriage certificate, and even any Medicare and Medicaid numbers you’ve obtained.
4. Plan for your Funeral
When you’re preparing for death, you also want to think about the kind of funeral arrangements you’d prefer to have.
Would you rather be buried or cremated? Where would you like to be laid to rest? Would you like something special to be done with your ashes? What would you like for your memorial service to look like?
Most of all, how will you help your family to cover the expenses associated with your funeral?
Remember that, after you pass, your family will be under a great deal of emotional — and perhaps, financial — stress. Setting your plans in writing ahead of time will help to ease the burden on them.
Find a grave plot and purchase it, consider pre-paying for your funeral and burial plot, and perhaps even coordinate your service with a funeral director.
Start Making your End of Life Preparations Today
We hope that this post has helped you to understand that it’s never too early to start making end of life preparations.
Doing this doesn’t only protect your family and ensure that they’re taken care of long after you pass away. It also helps to ensure that your own wishes and desires are carried out.
Finally, planning ahead will help keep the most important thing going strong — peace within your family.
It’s never too early to start thinking about your life insurance, your will, and even your own funeral.
Need more estate planning advice? Want to understand how to get your finances in order and live a more frugal lifestyle so your family always has enough?
Be sure to check out our website and blog for more information on how to live a life that’s affordable, yet always comfortable.
