People fear talking about death. It is however impossible to ignore death as a reality of life. It is for this reason that writing a will is important. To write a will, start by identifying your dependents. There are many people who can be the dependents. It is important though to let them know of the contents.
A beneficiary is the person who is named in a will to benefit from the assets of the person who wrote the will. The successor to an estate or other assets is the beneficiary. If the beneficiary is a minor upon death of the will owner, he or she will inherit the property upon attaining legal age. As the benefactor, let the beneficiaries be aware of the will early. This will eradicate confusion when you die.
Even after writing the will, revisit it regularly. Changes in life can necessitate altering the will. Of importance also is that you should also have alternate or secondary beneficiaries. In case the primary beneficiary in the will dies, the secondary one takes over. Ensure that your will is updated at all times.
Beneficiaries fall in different categories. The first one is the irrevocable beneficiary. Seek advice of your attorney and financial advisor before naming irrevocable beneficiaries. Irrevocable beneficiaries are very difficult to change. The second type is the revocable beneficiary. This one can be changed in case something happens in life. For instance, factors like marriage or divorce.
The person who is designated to receive property when you die is the primary beneficiary. This person is of interest to most insurance companies. The other group of beneficiaries is the contingent or alternate beneficiary. If the primary beneficiary dies before inheriting the property, the contingent beneficiary gets the assets. Apart from the primary and the alternate, there are also residuary beneficiaries. These are persons named to receive specific items from the benefactor. An example is when a grandmother assigns a particular jewel to a grandchild.
It is also possible to name alternate residuary benefactors for residuary benefactors. People to be named in a will are many. The spouse is the most preferred person by most people. After naming the spouse, it is good to name the alternate beneficiary. Children would be the ideal alternate beneficiaries after the spouse is named as the primary beneficiary. To many other people, children are primary beneficiaries.
There are special cases where people name friends or charities as beneficiaries to their assets. It is a personal choice. More information about wills can be found online for further reading. In conclusion, it is important to write your will early since we never know what will happen next in life.