Spring is an ideal time to put our legal and financial houses in order. Here’s some housework you can do without straining your backs or dirtying your hands:
• Prepare a current asset and debt summary. Label and store closed bank records. Keep open-account records in an Assets File. For each account, list the address and phone number of the branch, and the name of any account representative.
• Prepare a “Letter of Instructions,” to guide your family in the event of your absence, disability or death. Suggest priorities. Tell how to access emergency money. Advise where your will, trust and other personal papers are located. Consider writing a letter which details your burial/funeral instructions.
• List the names, addresses and phone numbers of your attorney, accountant, insurance and financial professionals.
• Be sure your will, living trust power of attorney and advance health care directive are current and properly reflect your choices of beneficiaries and fiduciaries. If you don’t have a trust or will, shouldn’t you? A properly drafted living trust will ensure that your wishes are carried out, avoid the time and hassle of probate, and may save your family thousands of dollars in legal fees and taxes.
• Review the title to your real estate. Does your current form of ownership best protect you from taxes, probate and creditors? If you are married, should you hold your home in joint tenancy or as “husband and wife as community property with right of survivorship”?
• Compare your insurance needs with your current coverage.
• Discuss your financial goals with a financial planner.
• Have an annual legal and financial check-up with a qualified attorney and a tax professional.
A systematic review of your legal and financial status is a rewarding spring cleaning project, promoting peace of mind and security for yourself and your loved ones.
Jerry Kessler practices law in Santa Clarita. He can be reached at 661-255-1001.