Today Your Legal Corner will discuss the Inventory Packet, the most important estate planning tool for 2015.

The New Year is an exciting time. It’s when we renew ourselves, set personal goals and promise to be better this year.

In order to improve or change, one needs to recognize where they are, before charting where they wish to go. Such change must be specific, as a general overview will not achieve concrete results.

When it comes to estate planning, it is always best to start at the beginning. The most important first step in developing a plan is completing the Inventory Packet. With this estate planning tool, it is possible to create an accurate estate/financial plan.

Estate Planning Tool

Personal Information

The Inventory Packet, when completed, will list your personal information and where the information is located. For example, your children or your spouse may be aware that you own your home, but do they know where the deed is located? Your inventory packet will house this information.

This estate planning tool will also include the family history and close friends. Presently, it may be clear who these people are and the type of relationship you have with them but as time goes by or if you experience an unexpected illness, who these people are become less clear. This is why it is important to write this information down and to update it periodically.

Asset Information

Before commencing an estate plan, list all assets, assign their true value and provide location. The reasoning behind this is you must know what you have and where it is and provide this information to whoever is going to handle your affairs when you cannot. Do not rely on financial institutions to provide this information accurately to your agent. Inadvertent mistakes are made, accounts not listed, and money that is yours can become the property of the state instead. To avoid this, make sure to list all assets and all financial institutions where funds/documents are housed.

Debt Information

At the same time, it is also important to list all debts, as well as how they are paid. Since many payments are now made online, it is important to include current usernames and passwords. Extending usernames and passwords to include online social media is also important, because it is difficult to remove these accounts otherwise.

Long Term Care Information

Once the Inventory Packet has been completed with your family history, assets and debts, consider your future long-term care. Know, at a minimum, forty three percent of us will require nursing home care with a median cost of $8000 a month. To create an effective estate plan, this issue must be addressed within your Inventory packet.

List your family history, assets, debts, and long-term care preferences in an Inventory Packet, before you meet with an attorney to create an estate plan. Remember, completing an Inventory Packet is the most important estate planning tool this 2015!

Till next week, God bless, keep smiling and remember who’s in Your Legal Corner when YLC will discuss “The Six Signals To Review Or Create A Will.”

Click here to download your Free Inventory Packet; the best Estate Planning Tool for 2015, compliments of Your Legal Corner and the Law Offices of Hoffman DiMuzio.

Victoria M. Dalton is an Attorney Of Counsel with the well-respected Law Offices of Hoffman DiMuzio.

Call 856-845-8243 or fill out a quick online contact form to speak with an attorney.

Your Legal Corner was created to provide educational articles about the law and is not legal advice! Always consult with an attorney to address your legal needs.