One of the most important estate planning documents you will need to consider is your will. A will is a legal document that outlines how you want your assets distributed after your death.
There are several types of wills to choose from, each with its own unique features and benefits.
Simple will
A simple will is a straightforward document that is typically used when your estate is relatively uncomplicated. It may not be suitable for more complex situations, such as those involving blended families or significant assets.
Testamentary will
A testamentary will is the most common type. You use a testamentary will to specify how you want your assets distributed, name guardians for minor children and appoint an executor to manage your estate.
Joint will
A joint will is a single document created by two people, usually a married couple. It outlines how their combined assets get distributed upon the death of one or both parties. While joint wills can simplify the estate planning process, they can also create complications if one party wishes to make changes later on.
Living will
Unlike the other types of wills, a living will does not deal with the distribution of your assets. Instead, it is a document that specifies your healthcare preferences in the event that you become incapacitated and unable to make decisions for yourself. A living will outlines your wishes regarding life support, pain management and other medical treatments.
By carefully considering your options and your financial position, you can protect your assets and wishes for your beneficiaries.