Linda P. Erickson, CFP®, is the president of Erickson Advisors and a registered principal offering securities through Cetera Advisor Networks, LLC, 336-274-9403 lindae@ericksonadvisors.net.
Ah, the Bucket List… those important, aspirational, and meaningful experiences we all want before we die. Even if you haven’t written one, you probably have one.
There is another “Bucket List” that you should have, one that is also meaningful, can be aspirational and is very, very important — The Document Bucket List. These are documents that we all must have in place to make our aging, ill health, and death much easier for those whom we love.
This may not be a fun list to complete, but it is one that is critical to an orderly personal financial environment. If the drafting of documents that relate to subjects we would rather not discuss is unpleasant, you may offput tackling this task to a later time. However, there are some things that cannot or should not be delayed despite your long list of excuses. Your Estate documents and Health Care documents should be at the top of that list. For the sake of those you love, for the sake of those you care about and maybe even care for, there are a few documents, and a few action items to complete now — before it’s too late.
- A valid will that may or may not contain a Revocable Trust. The original should be kept in a safe place but not in a safe deposit box. Be sure to let your Executor know where your safe place is.
- A Durable Power of Attorney document names a spouse, a trusted family member or friend who will act for you when you are no longer able to take care of your financial affairs. Choose this person carefully because he or she will have complete authority to manage your financial life, but know that you can change this document up to the point when you are deemed “not competent.”
- A Health Care Power of Attorney document is perhaps your most needed document right now. Most hospitals require this document as part of their admission procedure, and you may not be able to cogently fill out the document form they might give you at that time. This document names a person who will speak for you regarding all procedures and medical decisions, so take care to let your Health Care Agent know what you want in emergency and end-of-life situations.
- An Advanced Directive may be written as part of the Health Care Power of Attorney. It expresses in some detail what you want in the way of medical intervention. These choices will include your wishes regarding assisted breathing, nutrition, hydration and resuscitation.
- A list of accounts you own, where they are located, with contact names and numbers will be essential. Your Power of Attorney should also know where to locate your marriage license, divorce decree, separation agreement, and qualified domestic relations order, if any apply.
- An up-to-date list of the beneficiaries of all accounts will be very helpful for you to review now, and those you leave behind, to have a clear understanding of your intended financial legacy.