Photo by Glenn Carstens-Peters
Originally Posted On: Why It Is Important to Have Plans In Place For When You Pass Away | Sarah Scoop
It is not something you will necessarily want to think about, but given what has occurred this past year with the Covid-19 pandemic, you sometimes have to prepare yourself and your family for the worse. What might happen in the eventuality that you were to be unwell or in an accident?
You would want to know that your family will be taken care of financially after you are gone. This will resonate in particular if you have children, a partner or close family and know that they will not end up homeless.
Where There’s a Will There’s a Way
It can be particularly stressful on the rest of your family if you do not have a last will and testament written in place so that your home and assets can be shared out accordingly. It can cause many heated debates within families when one person wants to overrule somebody else and try to obtain more than they should because they just see dollar signs.
Certified Financial Planner, Michael Fuhr, of SageVest Wealth Management, believes that many people rely on their parents inheritance in order to help them with their financial woes, with some adults believing that they are entitled to their parents’ money and home and even relying on it at times. At least if you have these discussions with your family in advance and have things written out officially, these can cause less family dramas in the long run.
Insuring Your Future
To be more prepared you could look into Life Insurance quotes to see how much it would cost and what could potentially be cashed out before your death. However there would be a small fee to pay towards this, depending on how much you have contributed.
Essentially you pay a monthly fee towards a life insurance company or trust and then once you pass away whoever is listed as being the beneficiary will receive a payment, whereby they can spend it how they wish. This could also contribute towards the cost of your funeral so you know that they will not have to use their savings to pay for this.
Following Your Specific Requests
It can be useful to have a written plan in place for members of your family. There might be specific funeral arrangements that you will want your family to adhere to that they will not know of, or if you want to be placed on an organ donor register. Having specific instructions set in place with a last will and testament, can ensure that your family can follow through with your requests, which will be one less thing for them to have to think about, when they are already grieving.
Not only can life insurance help your family and friends carry out your wishes when it comes to funeral arrangements, schooling for children or grandchildren, and even paying off debts, it gives peace of mind.