by Sonja Dupree

Created on: December 26, 2008   Last Updated: January 05, 2009

When it comes to protecting finances in an unstable economy, it is important to have a complete estate plan that expands beyond the conventional drafting of a "Will." A complete estate plan can provide superior protection of assets in the event an individual becomes mentally or physically incapacitated or unable to handle their own affairs or otherwise deceased. Putting a comprehensive plan in place will help to ensure that decisions are consistent with the preference and intent of the principal individual, herein designated "testator" of the legal document. The testator is the creator of the Will.

Wills are powerful documents that are enforceable in a court of law. Wills allows the testator to write the ground rules on how their property will be distributed, who should take care of minor children or incompetents, and when beneficiaries will receive property. The Will is the document that will transfer ownership and entitlement to property from the deceased to the beneficiary. It is important to note that provisions of a Will have no enforceable effect during the lifetime of the "testator" and beneficiaries and executors can not assert a right to property or authority over property bequeathed under a Will until the testator is deceased. Wills are ambulatory which means that they can be changed or altered and revoked at any time during the lifetime of the testator.

A valid and enforceable Will typically includes the following information:

(a) Biographical information of the testator (i.e., name, spouse's name, children names and ages etc.)

(b) Who will receive the testator's tangible and/or intangible personal property (i.e., real estate or bonds)

(c) Who will receive specific bequest (i.e., a gift of personal property, either tangible or intangible, through a Will or Trust)

(d) Who will receive the "residue" of the testator's estate (remaining assets after all specific bequest have been allocated)

(e) Whether a Testamentary Trust is created to provide for beneficiaries, and if so, the terms of the Trust and the nominated "Trustee"

(f) Who will serve as executor (i.e., personal representative of an estate charged with collecting assets, paying debts and expenses, and making distribution as dictated by the Will)

(g) Who will be nominated as guardian of minor or incompetent beneficiaries

Drafting and implementing a valid and enforceable Will is only the first step in devising a comprehensive and complete estate plan to protect assets.

The second step in ensuring that the

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