How to Put Together your Legacy Drawer a Late Estate Guide
Legacy Drawer
You may be thinking, what is a 'legacy drawer' and why do I need one? Well, this is one of the most important talks to have as it is often the most important topic not managed or catered for. The only question is; What happens to my estate after I pass away, and does my family know where my estate papers are kept safe?
What is a Legacy Drawer?
A legacy drawer is a special place to store the important documents your family will need if something happens to you. While this part of planning for the future is not fun, it’s a task that’s worth its weight in gold.
Having your legacy drawer set up eliminates a whole lot of added stress and confusion at a time when emotions are already running high.
Why is a Legacy Drawer so Important?
As an Appraiser that will get called to value Estates, I have all too often come across a situation where the deceased family and loved ones do not know where the important papers are. This can create all sorts of delays, mostly in the case that a Will is not found.
Here is my expert guide to getting your papers in order, it does take some effort but will be worth it as this will become the most crucial drawer in your home, as it will be the first place your family will need to go through after you are gone.
How to Setup a Legacy Drawer
Purchase a file or filing box for the sole purpose of putting all documents in one place.
Get some stationery like filing dividers so the individual sections are organised correctly.
Make sure you have a cover letter with instructions.
Will and Estate Plans
First in the file are your Will and Estate plans. This will also include the name and contact details of your lawyer and/or executor and any Estate plans or wishes you may have.
This section will include your funeral plans and wishes.
Funeral Instructions
All the funeral instructions should be included in your legacy drawer, this is the time to be specific. Do you want to be buried or cremated? Is there a funeral home you prefer? Do you know what clothes you want to be buried in etc.?
What do you want to be included in your service—specific songs, speakers, etc.? If you are married, create a letter of instruction for you and another for your spouse that includes all funeral instructions.
Financial Accounts
Make sure all your Banking Account Details: Name of Bank, Names of accounts – personal and business. Cheques, Savings, Credit Card Accounts, Bank Loans, and all banking contacts are in your legacy drawer.
As up-to-date bank account statements as possible.
Budgets
Add a breakdown of your monthly expenses – as up-to-date a budget as you can. I will suggest updating this every 6 – 12 months. This will clearly show certain payments that are not often obvious such as subscriptions or club fees etc. A budget will make it easier for the Executor to handle your Estate, and complete it as timeously as possible.
Insurance Policies
Make sure your Insurance Policies, Life Policies, Investment policies, Share Portfolio, and Pension Scheme are in your legacy drawer. This is vital information and very important to include the contact details of your broker or the firm that your policies are invested with.
Important Documents
ID, Passport, birth certificate, Marriage Certificate, Divorce Papers, etc.
Company Documents or Employer details. If you are a company owner or are employed, all company registration documents and employment documents are to be kept together.
Title deeds or rent agreements – If you are a property owner or renting, this would be the section to include all documents relating to your properties.
Car Papers, all documents relating to any vehicle or other. Motorbikes, trailers, caravans, boats, etc. Keep it all together in this section.
Tax Returns
Do not forget about your SARS Tax Returns, keep them as up-to-date as possible in a SARS Tax Returns folder, this will be one the best gifts to leave your loved ones.
Passwords
Have all your passwords in one place. Bankings, Social Media Accounts, Websites, Email Addresses, Insurance, Medical Aid the list goes on, but it is very important to have them kept safe.
Legacy Letters
Your legacy drawer is all about your legacy after all. So, take a little time to leave behind letters for your loved ones. Tell them how much you love them, what they’ve meant to you, and anything else you want to make sure they know if you’re no longer around to tell them.
Essential Communication
When you finish creating your legacy drawer, don’t forget the most important step. Tell your spouse or another trusted loved one where your legacy drawer is.
Make it Easy for your Family
Creating your legacy drawer might seem like a lot to do at first, but once you get going you will have it done in no time. When you finish, set a reminder on your phone or add a note to your calendar to access your legacy drawer every six months. Check to see if any documents need to be added or updated.
If you need help, contact LEAVA for advice and assistance in creating your legacy drawer and peace of mind knowing that if something happens to you, your affairs will be in order and your loved ones are not left with the overwhelming task of trying to sort out your affairs after you are gone.