When should people write wills?

Writing a will can be a grim prospect for many people. Unfortunately, it seems as though many American adults are neglecting this important legal document. A report by Fox Business indicates 58 percent of adults do not have any type of estate planning document, whether it is a trust or will.

Many people assume they can wait until retirement to focus on a will. However, there are times in life when a person should seriously consider drafting this important document.

After buying a house

When people buy homes, they now have significant assets that will need to be divided in the event of an untimely death. It is essential to update a will any time a move takes place.

After starting a business

Similarly to a house, a new business venture provides an entrepreneur with more assets. In addition to more money coming in, there is also property that will need distributing if the person actually owns the commercial building. Business owners can also use a will to outline how the business will be passed on. If a person wants the family business passed on to a child, then a will would outline how that would happen.

After having a baby

Writing a will is typically the last thing on people’s mind when new life is brought into the world. However, a will needs to outline who has guardianship over the child in the event of both parents’ deaths. Additionally, a will states what the child gets ownership of once he or she reaches the age of 18.

After getting married

People need to update their wills after a wedding because the change may affect who becomes a beneficiary. In addition to marriage, individuals should also change wills after a divorce. For example, if a spouse has a former partner listed as a recipient of certain assets, then that may need changing after a separation.