Why Would You Need a Will with Little to No Assets?
It may be hard to understand why someone would still need a Will if they have little to no assets or they have set up beneficiaries, trusts, or other types planning that control the disposition of assets. However, there are several important reasons why having a Will is still a good idea, even in these circumstances. Here's why:
1. Estate Representation
A Will appoints an Executor, who plays a crucial role in handling various responsibilities. Without a Will, there's no designated individual to manage important tasks such as:
a. Filing taxes or communicating with the IRS.
b. Communicating with Social Security.
c. Handling debts of the estate.
d. Being able to recover unclaimed property.
e. Filing a wrongful death claim in the event of medical malpractice or other actionable cause of death.
f. Being able to handle or close any online accounts, subscriptions, utilities, or other services.
2. Estate Accounts
An Estate Account is needed for any reimbursement checks for pre-paid insurance premiums, rent checks, and any other payments owed to you. These companies will either issue a refund in your name or the name of your estate. The only way to cash these checks is to open an Estate Account. The only way to open an Estate Account is to probate a Will and get an Executor appointed.
3. Designation of Guardian
If you have children under 18, it's essential to appoint a guardian for them in your Will. This ensures that, in the event of your death, your children are cared for by the people you trust and choose, not left to the decision of the courts.
In summary, even if your asset pool seems small or you've made other plans, a Will serves as a vital tool to ensure your affairs are managed according to your wishes, providing peace of mind for both you and your loved ones.