put your affairs in order
I have bad and good news for you. The bad news is that you will die. The good news is that if you’re reading this, you still have time to get your affairs in order.
Now, do I have your attention? Discussions about death and dying are never pleasant, but they are necessary. After all, we are all dying. Some will go before others, but in the end we will all suffer the same fate. Religious leaders may say there is such a thing as Eternal Life or reincarnation, but don’t count on it. Dead is dead.
A big mistake we mortals make is that we worry about how we can avoid or at least postpone death. A good set of genes and a healthy lifestyle will help us add a few years to our lives, but they do not confer immortality. Also, the exertion and groans you make in the gym will barely make a tooth in your final destination.
Instead of worrying about how we can extend our own lives, we should focus on the plight of those left behind after we die. Men, especially, must discard the notion that they will live a long life or, at the very least, outlive their wives.
It’s not going to happen. According to the CDC, the average lifespan for a man in the United States is 75 years, but women, on average, live to be 80 years old. Also, an article in the Harvard University Gazette cites a study of 100 centenarians in eight cities and towns around Boston. They found that 85 were women.
So now is the time, as the detectives in “Law & Order” often say, to be a stand up guy. Do the right thing. Cast off your notions of immortality and get your affairs in order so that the problems associated with your passing are minimized. That’s the least you can do for your spouse, children, and loved ones.
You don’t necessarily need a group of lawyers and accountants to pull this off. Most of the work can be done by yourself over a weekend. Your primary goals should be to simplify your estate and ensure you have set aside enough cash and near-cash reserves to pay bills long after you’re gone.
Instead of having hundreds of key documents in safe deposit boxes, filing cabinets, and desk drawers all over the house, you should consolidate them into three loose-leaf notebooks, numbered 1, 2, and 3.
Put non-financial documents in notebook 1, including:
o Last will and testament
or Lasting Power.
o Social Security information for widows
o Information about military funeral honors
o Advance Medical Directive
o Proposed Obituaries
o Copies of trusts that have been established for family members
Documents related to illiquid financial assets should go to notebook 2:
o A list of mutual funds
o Vehicle Titles
o Real estate deeds
o Account statements of brokerage firms
o IRA account information
401(k) Information
o Copies of insurance policies (covers are fine)
The third notebook, and perhaps the most important, You must have documentation related to cash and cash-like assets, such as savings accounts, checking accounts, and certificates of deposit. If total assets exceed $100,000, the money must be spread over multiple banks to take advantage of FDIC insurance. This notebook should also include ATM cards, passwords, and personal checks for each account. Everything should be arranged so that a spouse or next of kin can easily get money to pay for their living expenses and other bills.
I’m sure you can think of many ways this system can be refined and improved. Okay. Have to. Make sure that when you die, your spouse doesn’t have to go through hundreds of documents, stored in multiple nooks and crannies around the house, just to get things done and maintain your standard of living.