More than numbers: everything in One Place: Leaving an Information Legacy.

• Author: Wiener, Jeanne L.
• Position: Estateplanning

too often, individuals or couples consider estate planning to he only the preparation of wills and trusts. They don't take the next critical step of gathering all of the information their heirs or executors will need to swiftly and smoothly complete their wishes. This lack of organized information leads to unnecessary stress on surviving family members and can lead to a significant increase in professional fees.

Personal Experience

My interest in this topic grew from my own experience of trying to assist my father in organizing his financial information. After he had a stroke, my mother called me to express concern that she would not be able to find all of the financial and personal information she would need, as my father had handled all the finances. It took some perseverance on my part, but I finally convinced him to sit down with me to create a binder for my mother.

The binder included information related to assets, insurance, pensions, important contacts and the location of important estate planning documents. Seven years went by and, in April 2012, I sat down again with my father to update the binder. He passed away only four months later. As co-trustee of his trust I was thankful that I had this binder as a guide to implementing my father's estate plan.

Obstacles to Organizing

In my case, it took months to get my father to tackle the task. Many individuals delay organizing this information because they think they have plenty of time to live--or do not want to consider their mortality: The problem is that this vital information might also be needed in the case of incapacity. The lack of records could cause all of the same administrative issues one faces after a death. The distraught or grieving spouse, the children or the trustee have to then scramble to discover financial assets and obligations.

Another obstacle to organizing is a tendency to keep our financial life private. A parent may not want a child who will administer a trust or an estate to know the extent of the assets they might inherit. The downside to this, however, is that some assets may go undiscovered.

Declining mental or physical health can also impede the organizing of important financial information. For example, in the case of an individual with declining mental capabilities, they may not remember assets such as life insurance policies purchased long ago. They may also forget where their important estate planning documents are or where the safe deposit box key is...