How To Plan for Your Assets
We recently published a blog about how to plan for your liabilities when it comes to your estate planning – now let us talk about how you can plan for your assets and ensure that they are accounted for and protected when it comes time to administer your estate. Let’s look further into a few ways that you can carefully plan for your assets.
Create a master list.
Much like you created a list of your liabilities, you should also create an asset list for your executor to use as a guide when it comes time to act. By creating this list, you are providing them with a massive piece of the puzzle of your estate and can give them peace of mind knowing that they have not missed anything. Imagine if you had a rare painting in your home that your executor did not know to look for and it was donated or sold for $5?! This sounds like a movie plot but trust us – these situations happen more than you would think! Depending on what type of assets you hold, it is wise to include information such as where the asset is located, how many of them there are, as well as approximate values or recent appraisal values, but more on that below….
Get those items appraised and ensure that you have the appropriate certificates and paperwork!
While most of us have the typical assets such as a home and vehicles to be appraised, there are so many more items that could require an appraisal. It’s important to find the right appraiser for the assets in your estate – it may be artwork, jewelry, coins, teacups or other collectibles. If you are struggling to find a local appraiser for certain items, you can always do your own research and head online to find approximate values. Additionally, you will want to gather all the certificates of authenticity and paperwork that can back up the value. By doing this, you are ensuring that your executor is educated about the items your estate holds, and that they handle these items appropriately.
Communication is Key.
While you don’t need to get into specifics with your future executor, it’s always best to inform them as to where all this crucial information is located for when the time comes. Keep them in the loop over time and ensure that you are letting them know if there are any changes that arise.
By taking the time to create a comprehensive estate plan you can avoid costly mistakes, minimize taxes, and ensure that your assets and wealth are distributed according to your wishes. Do you have questions about the role of the Executor? Another great tool when it comes to your estate planning is our new online course called Executor Ready! Executor Ready does just that – gets your Executor ready for the role through ten easy to digest video modules led by our CEO and Founder Debbie Stanley. Click the link to learn more and to get your Executor Ready today!
This blog is not intended to be legal advice and should not be relied on as such. If you require legal advice, please contact a legal professional concerning your particular circumstances.