A will is a legal document that tells others how a person’s property will be dealt with upon his or her death. It names those who’ll inherit the assets (the beneficiaries) and designates a person or entity to oversee the distribution of assets, known as the executor or personal representative.
Your beneficiaries can include spouses, children, friends and even charities, and you can divide and distribute your property and other belongings any way you see fit.
In addition to distributing the assets, the executor will also be responsible for paying off existing debts and estate taxes prior to allocating your property.
The will ensures that your estate is distributed the way you want it to be and doesn’t end up going to unintended beneficiaries. Your Will can also set up trusts to care for disabled, minor, or irresponsible beneficiaries as well.
Because wills are legal documents and involve important estate decisions, consulting with a good estate planning attorney when drawing one up is a wise financial decision.