The Basics of a Last Will and Testament

Wills are the most basic of estate-planning tools. They are legal documents that outline which of your loved ones get what part of your estate. Unfortunately, wills are virtually always subject to a long--and often costly--probate process.

Dying without a will
Still, it's far better to die with a will serving as your only estate plan than it is to die intestate. If you die without a will or other estate plan, local governments will decide how to divvy up your assets. In general, under state intestacy laws, you can expect your spouse to get half of your assets and your kids to divide the other half. If you die without a spouse or children, expect your parents to get first claim on your goods, followed by your siblings and other relatives. If you die intestate, and without any identifiable heirs, your assets will revert to the state. And, if you die without a will naming personal and property guardians for your minor children, you forfeit your say in how they should be raised after your death.

We will show you about a variety of trusts and other techniques that can help your heirs avoid the hassle of probate and, in many cases, save on estate taxes. Still, many estate planners believe that you only absolutely need three documents covering the end of your life and your wishes for your heirs. They are a will, a living will and a durable power of attorney for health care. (You can learn about the latter documents in Personal Matters.)

You may not have the time, inclination, need, or cash to put your assets in trust. That's okay. But no one should die intestate.

• Why You Need A Will: There are many reasons why you need a will, such as to take care of your kids and to serve as a backup for your current estate plan.
  
• Legal Requirements For A Will: Find out what your will absolutely must include.
  
• Drafting Your Will: Whether you're planning to buy a do-it-yourself will kit or to hire a lawyer to draw up the document for you, it never hurts to acquaint yourself with the overall "flow" of the document.
  
• Wills: Powers And Role Of The Executor: If your will isn't clearly written, your executor can wield great power--and even decide how your estate assets will be distributed.
  
• When And How To Change Your Will: You will probably have to rewrite your will several times during your lifetime. Find out why.
  
• Probate--And Why You Should Avoid It: For some, avoiding probate is more important than trying to avoid paying estate taxes.
  
• Privacy Advantages Of Trusts Over Wills: Find out whether you need a will, a trust--or both.