As Chartered Accountants we are often faced with resolving the financial affairs of clients passing away out of the blue. If plans for economic management have not been put in place, this can cause solemn problems for those left behind.
Here’s a easy checklist that can help. It’s our responsibility to ensure we do these things before we breathe your last breath:
1. Write down the name of your bank account numbers and passwords. Keep this information private. Put it with your lawyer or your accountant or better still, both professionals. Make sure that the paper is only to be opened and understand upon your death.
2. Document a written message to your next of kin or family, your lawyer or your accountant. Lay down the steps that should be taken on your passing. For instance, does someone owe you some money which hasn’t been recorded in say your financial statements but which you need collected on your passing away? Do you would like to donate your organs?
Document your wishes so they are simple to follow and have no doubt? Again, insist on that the document ought to only be opened and understand upon your passing away.
3. Do you have a current Will? Make sure you do and that your lawyer, accountant and your spouse have a duplicate of that Will.
4. Do not retract or withdraw a life cover policy without having an complementary policy set up.
5. Keep a copy of your life insurance policy with your lawyer, accountant or spouse.
6. Make sure the policy for life cover is recorded in the names of the Trustees of your Family Trust.
7. Go ahead and have a Trust, but ensure that possessions that are business are not mixed with property that are business related. For instance, put personal property such having the status of your family home in your Family Trust and keep your business chattels, such being the shares in your business in your Trading Trust.
8. Have a up to date Memorandum of requests for each of your Trusts. Tell your surviving Trustees in your Memorandum of requests accurately what you need done with the assets of the Trust when you pass away.
9. Leave a copy of your existing Memorandum of requests with your lawyer, accountant and present family.
10. Do you have a game plan for your partnership if you are a business owner? What exactly ought to happen on your death? Who ought to be put in power until your Trustees or your Executors can resolve matters? Document this in writing in detail. If you have a feasible business this plan will certainly be significant to ensuring your company survives after your end.
11. Commit to memory to leave a set of house keys, business keys, and so on with a acquaintance so that someone has access to your business and your home. Commit to memory, if you live alone, pets and pot plants still need consideration and care.
There will definitely be other factors that ought to be considered and there will be many more suggestions you can find. The above is not planned to be a full list. If you stick to these suggestions it may make things easier for those left behind so that they can on with grieving their loss.
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Janet Xuccoa BCom LLB, is a Family Trust specialist and accountant and partner at Gilligan Rowe & Associates Ltd (GRA). GRA is an accounting firm specialising in property and family trusts
