Estate Planning Part 06 - How to Draw Up a Will

As we mentioned in previous articles, estate planning is the process of accumulating and disposing of wealth before death of individual of group of owner known as estate owner including married couple. It aims is to maximize the wealth of the estate owner. The most important goal of estate planning is to make sure that the greatest amount of the estate passes to the estate owner's intended beneficiaries while paying the least amount of taxes. Drawing up a will is a must for people who want to distribute their assets in their own way upon their death.

1. Collect your assets
Before drawing your will, you must talk to your accountant, financial adviser and any financial institution that you have investments with them, so you can collect all updated statements of your asset including stock of assets, possessions, and any other money that would form part of your estate.

2. How you want your estate to distribute
After knowing how much is worth in your estate, you can make an accurate distribution to your beneficiary, if you would like to have a straight assets distribution. It is advised to put the assets distribution in percentage instead of list of asset so you can avoid the fluctuation of certain assets and unfair to one of the beneficiaries after your death.

3. Have 2 persons to witness your signature
Remember the person who you want to witness your signature must have a sound mind and at least at the age of majority. You may want to have a lawyer to notarize your will or you may write your will in long-hand, also known as a holographic will which does not require to be notarized by lawyer or witnessed by any people.

Remember that your will must include
1. Your present address,
2. A statement that previous wills made by you are revoked
3. Direction to pay funeral expenses, debts, and taxes before estate is distributed to your designate beneficiaries.
4. The appointment of an executor.

I hope this information will help. If you need more information or insurance advices, please follow my article series of the above subject at my home page at:
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