Why Everyone Needs a Will

Introduction

Building wealth is only part of the story. Legacy planning is about what happens to the people, property, accounts, and wishes you've worked to protect when you are no longer able to make those decisions yourself.

What Is a Will?

A will is a legal document that can communicate your wishes about certain property and responsibilities after your death. State laws determine how wills are created, witnessed, interpreted, and carried out.

A will can be used to address important matters such as:

• Who should receive certain property
• Who you want to nominate to handle your estate
• Who you want to nominate as guardian for minor children, where applicable
• Specific wishes or instructions permitted by your state's law

ES11 TRANSLATION: Your will is like the key to your Legacy Room. It helps communicate what you want to happen to the things you've built instead of leaving every decision to default legal rules.

Why Does a Will Matter?

Without a valid will, your estate may be distributed according to the laws of your state. That process can produce results that are different from what you would have chosen.

A will can help make your wishes clearer and may reduce uncertainty for the people handling your affairs.

A will does not eliminate every estate-planning issue. Some assets pass outside a will through beneficiary designations or other legal arrangements.

What Happens If You Don't Have One?

If someone dies without a valid will, they are generally described as dying 'intestate.' State intestacy laws determine who may inherit and in what proportions.

Those rules vary by state and family situation.

IMPORTANT: Not having a will does not mean your family gets nothing. It means state law and the structure of your assets may determine what happens instead of a plan you intentionally created.

A Will Is Not the Same as a Beneficiary Designation

Some assets can pass directly to a named beneficiary rather than through the will.

Examples can include certain:

• Life insurance policies
• Retirement accounts
• Payable-on-death accounts
• Transfer-on-death registrations

That means having a will is important, but reviewing beneficiary designations is important too.

ES11 CHECK: If your will says one thing but a financial account has a different beneficiary designation, the account may be governed by its own beneficiary arrangement. Review both as part of a coordinated plan.

Who Might Need a Will?

Estate planning is not only for wealthy people.

A will may be especially important when you:

• Have children or other dependents
• Own a home or other significant property
• Have a business
• Want certain people to receive specific assets
• Have a blended family
• Want to nominate guardians for minor children
• Have wishes that may not be obvious from your family structure

Even if you don't have significant assets, your wishes and responsibilities can still make planning valuable.

What About Minor Children?

For parents and guardians, one of the most important reasons to think about a will is planning for children.

A will can allow you to nominate a guardian according to applicable state law. It can also provide instructions about how you want certain assets handled for children.

THINK AHEADA will cannot guarantee a court will follow every request exactly, but it gives your wishes a formal place in the legal process.

What Is an Executor?

An executor, sometimes called a personal representative depending on the state, is the person responsible for handling an estate according to the will and applicable law.

This may involve:

• Locating and protecting assets
• Paying valid debts and expenses
• Handling required paperwork
• Communicating with beneficiaries
• Working through the probate process when required
• Distributing assets according to the estate plan and law

Choose someone responsible, organized, trustworthy, and willing to take on the responsibility.

A Will Is Only One Piece of Estate Planning

A complete legacy plan can involve more than a will.

• Beneficiary designations
• Powers of attorney
• Healthcare directives or similar documents
• Trusts when appropriate
• Business succession planning
• Asset ownership and titling
• Digital account planning
• Life insurance and other protection

The right documents depend on your family, assets, goals, and state law. Estate planning is an area where professional legal advice can be especially valuable.

Keep Your Plan Updated

Creating a will once is not necessarily the end of the process.

Review your estate plan after major life changes, such as:

• Marriage
• Divorce
• Birth or adoption
• Death of a beneficiary or person named in your plan
• Buying or selling major property
• Starting or selling a business
• Major changes in your finances
• Moving to another state

ES11 RULE: Your life changes. Your Legacy Room should change with it.

Your 7-Day Legacy Starter Plan

• Day 1, List What You Own • Write down major assets, accounts, property, insurance, and business interests.
• Day 2, List Who Matters • Identify the people who depend on you or whom you want to protect.
• Day 3, Review Beneficiaries • Check life insurance and retirement or other accounts with beneficiary designations.
• Day 4, Find Your Important Documents • Locate existing wills, policies, account information, titles, and other key documents.
• Day 5, Identify Your Missing Pieces • Ask what would be unclear if someone had to handle your affairs tomorrow.
• Day 6, Choose Your Next Professional Step • If you need legal advice or documents, identify a qualified estate-planning attorney or other appropriate professional.
• Day 7, Create Your Legacy Checklist • Write down the documents you need, the people who need to know where they are, and the date you will review everything again.

Your Financial Home Check 🏠

Estate planning is the Legacy Room of your Financial Home™.

• 🔑 LEGACY ROOMEstate planning
• Have you made your wishes clear about what happens to the things you've built?
• 🏠 FOUNDATIONBudget
• Are you maintaining the financial foundation that supports your family today?
• 🚪 FRONT DOORCredit
• Are your debts and financial obligations documented and understood?
• 🥫 PANTRYSavings
• Would your family know where your accessible savings are kept?
• 🛡️ SECURITY SYSTEMProtection
• Do your insurance policies and beneficiaries align with the people you want to protect?
• 🛋️ LIVING ROOMInvestments
• Are your investment accounts included in your broader legacy plan?
• 🏡 ROOFHome & major assets
• Do you understand how your property is owned and how it may transfer?

Legacy planning is about making the Financial Home™ easier for the people you leave behind to navigate.

Quick Knowledge Check 🧠

• 1. What is a will? • Answer: A. A legal document that can communicate certain wishes about property and responsibilities after death.
• 2. What can happen if someone dies without a valid will? • Answer: B. State intestacy laws may determine who inherits.
• 3. Do beneficiary designations matter even if you have a will? • Answer: C. Yes. Certain assets may pass through beneficiary designations outside the will.
• 4. Should an estate plan be reviewed after major life changes? • Answer: D. Yes. Major changes can affect whether the plan still reflects your wishes.

Your Action Step ✍🏽

• COMPLETE THIS SENTENCE“If something happened to me, I want my loved ones to know _____.”

Then choose one document, account, beneficiary designation, or piece of information you can organize this week.

BUILD IT. PROTECT IT. LEAVE IT WITH A PLAN.

Essence 11 Translation™ 🧡

THE ES11 TRANSLATION: Your Legacy Room is where your Financial Home™ tells its story after you're gone. • Imagine building a beautiful home but never giving anyone the key or explaining what belongs where.A will, beneficiary plan, and other estate-planning tools can help your loved ones understand what you wanted and how certain parts of your Financial Home™ should be handled. • You don't need to be wealthy to have a legacy. • Your legacy can be the home you built, the protection you purchased, the savings you created, the business you started, or simply the care you wanted to provide for your family. • Legacy planning is not about expecting the worst. • It's about making the best possible plan for the people and things you care about.

One room at a time. One decision at a time. One Financial Home™ at a time.