The Importance of Organization: Keeping Your Family Prepared
No one wants their important documents lost or inaccessible in a time of need. Yet, many of us don’t stop to think about what would happen if we were suddenly incapacitated or passed away. Would your spouse, family, or close friends know where to find your key documents or how to access your online accounts? Would they know who to reach out to for help?
Taking the time now to create a detailed document inventory ensures that your loved ones have what they need when it matters most. By planning ahead, you can spare them unnecessary stress and confusion during an already difficult time.
What Information Do They Need?
Your family will need access to critical documents and information if you become incapacitated or pass away. Here’s a starter list of essentials to include in your inventory:
Legal documents (Will, Living Trust, Power of Attorney, Health Care Directives)
List of medications you’re currently taking
Contact information for key advisors (attorney, CPA, banker, insurance agent, financial advisor, doctors)
Insurance policies (health, life, disability)
Year-end bank and investment account statements
Storage unit location, access details, and inventory
A list of other assets, including property records, account numbers, purchase dates, and values
Safe deposit box location, access key, and list of contents
List of debts (mortgage, credit cards, loans)
List of people who owe you money
Disability or death benefits from employers or organizations
Past tax returns
In addition to paper documents, much of your personal and financial information is likely stored online. If you receive bank statements electronically, scan documents, or use accounting software, someone else may not even know these records exist. Family photos, tax documents, and other important files may also be stored digitally.
What You Need to Know:
Building a comprehensive inventory should include both physical and digital records. With the rise of online services and cloud storage, it’s critical to organize and secure your digital assets as well.
Steps to Take for Better Organization
Distribute Health Care Documents. Share updated copies of your Health Care Directives with your doctors and your appointed agents.
Store Originals Safely. Keep original documents, such as Wills and Trusts, in a fireproof safe or safe deposit box. Make copies for easy reference.
Create a Centralized System. Use one or two three-ring binders to organize your personal and financial information. Whether you prefer handwritten entries or digital spreadsheets, having everything in one place makes it simple for your family to locate critical information. (If you leave it solely on your computer, they may never find it.)
Include Digital Access Information. Make a list of your online accounts (banking, email, social media, etc.) and how to access them, including usernames, passwords, and any necessary security questions.
Simplify Your Computer Setup. Clean up your desktop by creating a clearly labeled folder for important files. Make sure essential digital documents are easy to find.
Run a Trial Test. Ask a trusted family member or your designated executor to run a “test” and locate key documents or accounts. This will reveal any gaps in your system and ensure it’s user-friendly.
Annual Review. Set aside time once a year to review and update your inventory, computer files, and passwords for online accounts. Life changes quickly, and keeping everything up-to-date is vital.
Organizing your personal and financial information may seem like a daunting task, but it’s an investment in your family’s peace of mind. A well-maintained inventory ensures they’ll have what they need if the unexpected happens.
Contact us today to schedule a free initial consultation to discuss how we can help you build a comprehensive plan for your family’s future.
Disclaimer: The content on this blog is for informational purposes only and is not intended to create an attorney-client relationship. For personalized legal advice, please contact our office to schedule a consultation.