We have all heard the saying that there are two things that are unavoidable: death and taxes. No one likes to consider their own death or that of their spouse. However, since we know these are inevitable, it makes sense to start planning for the unthinkable. Consider having these files available so you can help ensure your loved ones will have as few problems to deal with as possible:
- Establish and maintain files for financial and business information. Forms to keep in these files include copies of Social Security cards, marriage certificates, children's birth certificates, wills and trusts with powers of attorney, and living wills. Original documents should be kept in a safe deposit box. Be sure to have someone you trust as an additional signor on your safe deposit box so they can access the contents if necessary.
- Establish and maintain files for investment and bank account information, including account numbers and names of those who can help with decision-making. Many accounts may need to be altered or retitled. Life insurance information should also be kept here, as well as beneficiary and payout information. List any monthly payments you may receive from these accounts. Don't forget Social Security payments, IRA required minimum distributions, and pension payments.
- Establish and maintain files for all debts, including mortgages, credit cards, auto loans, cell phone contracts, etc.
Make sure your loved ones know where to find these files. By gathering and maintaining this information now, you will make a difficult time a little easier. Those who are left handling your personal business will be appreciative.