On Planning for Your Family's Life after

Your Death – [

This five-part article series provides a detailed discussion of the various important financial documents anyone should gather together to leave

behind for their family.

Welcome to the third installment of this five-part article series on the various documentation you should be gathering together for your family in the event of your death. In our previous article post, Part 2, I discussed some of the advice provided by Solana Beach investment advisors:

An original copy of your will, which your attorney should keep. A letter of instruction detailing the contact numbers of your accountant, attorney

and financial advisor, as well as information on any funeral arrangements. An iron-clad power-of-attorney form handing responsibility for your financial

affairs over to a suitable and trustworthy individual.

Now we’ll move on to what proof of ownership documents San Diego residents should gather together.

Proof of Ownership Documents

The legacy you leave behind to your family comes in many more forms than simple dollar bills. Your assets and material possessions, which include your house, car, savings, bonds, etc., also need to be fully accounted for. And so, a part of your organization should include procuring up-to-date, fully signed and relevant documentation indicating proof of ownership of:

Land

Housing

Car and other vehicles

Savings bonds

List of brokerage accounts

Stock certificates

List of escrow mortgage accounts

Any corporate or partnership agreements

If your heirs are unaware of any assets you own, especially those that practically only exist on paper, they may never find out, warn Solana Beach investment advisors. It’s in this event that your heirs will have to become detectives and keep an eagle eye out for any unexplained real estate tax bills, or pore over bank statements looking for any mystery interest payments or dividends.

Loans and Debts

A comprehensive list of loans you have made to anyone else counts as an asset, since whoever benefited from your generosity will be required to pay back that money to your heirs. Likewise, you should specify any debts you may have so that these can be settled out of your estate. You may not want your family to have to cover your debts, but it is unavoidable. The least you can do is not set them up for any nasty surprises. Your living trusts and will should typically stipulate how many debts you may have that should be settled. In San Diego, any creditors have an agreed upon amount of time in which they can make a claim against your legacy after your passing. Thereafter, the remainder goes to your deserving family members and heirs.

Tax Returns

Maintain a folder of the last three years’ worth of tax returns. This information will provide your executor with a solid idea of any assets you may own and therefore that should be included in your legacy. This information will also help your executor or attorney to file your final estate and income tax return, so that you’re square with the state.

Stay Tuned for Part 4

To find out more about the important documentation you should gather together prior to exiting this mortal shell, stay tuned for the fourth installment of this five-part article series.