Every family has its own approach when talking about financial and legal information. Some families have transparent situations with open communication. Other families consider the discussion of finances and legal topics taboo. Keep in mind that if you begin estate planning, having conversations about these topics is important. There is significant information which needs to be shared just to make the estate plan work smoothly.

Sharing Financial & Legal Information with Your Spouse

In many families, it’s not unusual for one spouse to have a significant influence over financial and legal affairs. Both spouses should be involved in the estate planning process.

At a minimum, the other spouse needs access to important documents which have been created with the estate planning attorney.  The living will, medical directives, deeds, wills and trusts, and financial and insurance papers should all be accessible with short notice by either spouse.  Likewise, both need to have legal access and keys to safe deposit boxes and combinations to home safes.

Talking with Children about Financial and Legal Information

Grown children may need to access those same documents in case of emergency or death.  It is not uncommon for parents to name a child as the executor of a will, trust or estate.  When doing so, it is highly recommended to talk this over with the person you’ve chosen.  You want to be sure he or she is willing and able to carry out the tasks properly when the time comes.  

Again, this person will need access to your important financial documents, whether they are held in the following areas:

• a special binder at home
• at the bank
• or through your estate planning attorney’s office. 

The amount of information you disclose in the financial documents is up to you, giving the executor a heads up about what to expect is a good idea.  

Powers of Attorney, Medical Directives, Etc.

It’s also important to have important discussions with those you choose to have power of attorney over your affairs should you become incapacitated.  These individuals will be in charge of your finances, but more importantly, they can be in charge of your health and well-being.  

Make sure these people are willing to take on the responsibility and thoroughly discussed your wishes with them.  Your medical directives and/or living will is a great place to lay out many of your concerns and desires. Actually talking to your personal representative will give him or her a better understanding of what you want and why.  This can make decisions easier on their part when a certain treatment, procedure, or other choice falls into a “gray area” which you didn’t specifically discuss.

Smith Barid, LLC has considerable experience in state law and can help you determine what legal and financial information truly needs to be shared with your family.