NC Estate Planning Fundamentals. Hopler, Wilms, & Hanna, PLLC North Carolina Licensed Attorneys 2017 Publication

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1 NC Estate Planning Fundamentals Hopler, Wilms, & Hanna, PLLC North Carolina Licensed Attorneys 2017 Publication

2 Contents Copyright 2017 by Hopler, Wilms, & Hanna, PLLC 2 NC Estate Planning Fundamentals

3 Introduction NC Estate Planning Fundamentals is an extensive guide to the most common estate planning tools used to prepare for incapacity and the inevitability of death. A detailed explanation of each tool is provided along with items to consider when implementing the tool as part of your estate plan. One of the most difficult parts for loved ones in assisting you once you are incapacitated and in handling your affairs after you ve passed is locating your assets. For that reason, this guide contains a planner that will allow you to keep all of the information your loved ones might need. For additional information or assistance, please contact Hopler, Wilms, & Hanna, PLLC at (919) or visit us on the web at NC Estate Planning Fundamentals 3

4 A Quick Look Last Will & Testament Not Useful Until You Have Passed Disposes of Personal and Real Property Does Not Include Beneficiary Property Appoints an Executor Nominates a Guardian Create a Testamentary Trust Not Required to be Filed Until You Have Passed Living Trust Transfer Property to Trust During Lifetime Useful for Managing Assets When You Cannot Avoids Probate More Privacy with Living Trust Not Filed Power of Attorney Health Care Power of Attorney Advance Directive ( Living Will ) Grants Broad Authority to Manage Affairs Effective when Signed or Effective when Incapacitated Limit the Scope of Authority Granted Not Effective Once You Pass Nominate a Guardian for Yourself when Incompetent Revoke with a Separate Written Instrument Should File with the Register of Deeds Appoint an Agent to Make Medical Decisions Effective Only if Unable to Make/Communicate Medical Decisions Set Limits on Decisions Made Decisions about Remains, Organ Donation, & Anatomical Study Nominate a Guardian if Incompetent May File with Secretary of State Decide when to Withhold Life Prolonging Measures Make you as Comfortable as Possible even if it Hastens your Death Let Health Care Agent Override or Take Decision Away from Agent Releases Liability for Following Directive May File with Secretary of State 4 NC Estate Planning Fundamentals

5 Chapter One The Last Will and Testament The Last Will and Testament is a document which expresses your intent once you pass of how you want your affairs handled. This includes naming beneficiaries, nominating a guardian for children, naming the person who will manage your affairs, and deciding how and under what conditions your property is distributed. The Last Will and Testament will usually begin with an introductory paragraph ( exordium ) which states that you are making this Will, provides some identifying information, typically will revoke all prior Wills, and may identify some or all of the people names later in the Will. You may have a blended family, with adopted children, stepchildren, or unrelated parties that you want treated as if they were family. If you do have people in your life that fall into these categories, it is especially important to indicate your intent. It is also important to acknowledge somewhere in the Will if you are intending to disinherit a natural heir, such as a child. If you are intending to make a change to a previous Will, you will usually indicate that purpose by reincorporating the previous Will and indicating the changes you are making. Inadvertent omissions or mistakes can be avoided by redoing the entire Will instead of executing a codicil. The Will should allow for the payment of your debts and the costs of administering the estate. You should also allow the funeral expenses to be paid from the estate. There is a statutory amount which is allowed to be paid, but it has not been adjusted, and is presently insufficient to pay for most funeral services. NC Estate Planning Fundamentals 5

6 Specific Bequests While some people leave everything to one person or to more than one person to be split among them, some people prefer to make gifts of specific items to designated people. There are a number of ways to handle this. Name the Executor as beneficiary and request that he or she gift it to the named people as described in attachment. (Can update this later without execution) Give it to the named people directly in the Will or via attachment. (Cannot update this without full execution later) Give categories of property to named individuals. (Cannot update this without full execution later) Leave everything to one or more beneficiaries to split, and request items be given from beneficiaries to named people (Can update later without execution) Bequest a sum or category of property to a class of beneficiaries. (Cannot update this without full execution) Use a fact of independent significance [all the property in my living room, all the books in my library] (Alter the condition to update without a full execution.) Residuary Every Will should have a residuary clause to avoid a situation of partial intestacy. Even if you are sure you have specifically devised all property, the residuary will deal with unexpected property interests and lapsed gifts. The residuary is essentially the catch-all everything else goes to X clause. 6 6 NC Estate Planning Fundamentals

7 The terms executor, executrix, and personal representative all refer to the same fiduciary position. The terms administrator or administratrix refer to the person appointed to handle the affairs of a person that died without a Will. Personal Representative is a generic term for all of the above. Executors may be entitled to a commission of up to 5% of receipts and disbursements, but you may specify otherwise in the will. Naming an Executor The Will should specifically appoint an Executor to serve for the Estate. It should also name multiple backup options for the preferred Executor. If we run out of options, we may use persons in the following order of priority: (1) The surviving spouse of the decedent; (2) Any devisee of the testator; (3) Any heir of the decedent; (4) Any next of kin (closer degrees of kinship have higher priority) (5) Any creditor to whom the decedent became obligated prior to the decedent's death; (6) Any person of good character residing in the county who applies therefor; and (7) Any other person of good character not disqualified You should speak with your potential Executors to make sure they are willing to serve. They should also be aware of where you store your Will for safekeeping and should typically have a copy of it for their own records. In your Will, you can waive the necessity of the Executor to be bonded. This may save the Estate some expenses. NC Estate Planning Fundamentals 7

8 Minors and People Not Responsible with Money For dealing with assets to be inherited by children. You have several options available. The most common methods are to leave property to a child while referencing the Uniform Transfer to Minors Act. This is basically a trust built into a statute and it often addresses all of a testator s concerns. For those with additional concerns, you can create a testamentary trust a trust that does not exist until certain conditions are met which you set in your Will and then a trust is created to manage property for a minor. You dictate all the terms and conditions of the trust as part of your Will. This is the most flexible option to control distributions to children. Additionally, if you have an adult beneficiary that you have concerns about, you may create a testamentary trust to manage property for them as well. The terms executor, executrix, and personal representative all refer to the same fiduciary position. The terms administrator or administratrix refer to the person appointed to handle the affairs of a person that died without a Will. Personal Representative is a generic term for all of the above. Executors may be entitled to a commission up to 5% of receipts and disbursements, but you may specify otherwise in the will. 8 NC Estate Planning Fundamentals

9 Chapter Two Revocable Living Trusts A Revocable Living Trust is an estate planning tool which often acts as a Will Substitute, meaning that the distribution of the property that you acquired during your lifetime would be controlled through this instrument instead of the Will. The Revocable Living Trust is also a useful tool for planning for incapacity and for avoiding the time and expense associated with probate. A trust is a fiduciary relationship with respect to property in which the trustee holds legal title to the trust property pursuant to agreement with the trust s grantor or settlor, subject to enforceable equitable rights in the beneficiary. Living trusts are commonly used as will substitutes. A typical revocable trust provides that during the settlor s lifetime, he or she may withdraw or direct the use of trust assets. The trust agreement may provide for how trust assets are to be used during the settlor s incapacity and therefore can be helpful in planning for incapacity. There are advantages to using this method over a Power of Attorney to plan for incapacity. Generally, a trustee has an easier time dealing with financial institutions. Typically the trust activity causes the trust to be a disregarded entity, so the settlor does nothing different on their tax return as a result of having a trust. If a revocable trust is used, the dispositive provisions of an estate plan can be kept private. A revocable trust is not filed with the Clerk of Court like a Will would be. The desire for privacy is a reason many clients choose a revocable trust for estate planning. As public records become more and more accessible online, the likelihood of information in a Will being viewed grows higher. NC Estate Planning Fundamentals 9

10 Avoid Probate Maintain Privacy One of the main benefits of a revocable trust is that, if it is properly funded, it can help a settlor avoid the probate process. If a person s assets are all held in a revocable trust at the time In addition to remaining outside of the probate process, NC also allows for a certification of trust. A certification of trust sets out important information about a of that person s death, then none of those assets trust without disclosing the dispositive would be held in the person s individual name, so terms of the trust. This allows a person to there would be no assets subject to probate. Not provide the information necessary to only does this save time and probate fees, but it transact business for the trust without also maintains privacy, since probate filings are having to turn over the entire trust public record. agreement. A certification includes the existence and date of the trust, the identity of the settlor (unless withheld under a specific provision in the trust), the identity and address of the current trustee, the powers of the trustee, the revocability or irrevocability of the trust, disclosure of who has power to revoke the trust, the authority of co-trustees to execute documents, the trust s taxpayer identification number, and the manner of taking title to trust property NC Estate Planning Fundamentals

11 Grantor 1 2 Revocable Living Trust Family, Heirs, Charity, other Trusts 3 Trust distributed at death Identifying the Trust To put assets into a trust, the trust must be adequately identified. For example, the title of trust assets may be held in this form: John Smith, Trustee of the John Smith Revocable Trust dated July 4, The title has the trustee s name, the name of the trust, and the date of the trust agreement. It supplies sufficient identifying information for the trust. Title to assets is held by the trustee. The trust is a relationship not a separate entity. When you modify a trust, you execute Trust Amendments which can order the revocation and replacement of provisions of the trust. Even after a modification, you continue to identify the trust by its original date. NC Estate Planning Fundamentals 11

12 Assets Held by the Trust Cash Bank account should be re-titled in the name of the trust. You may wish to not re-title small joint accounts. Accounts can be titled in the name of the trust but checks will not indicate it. Investment Accounts A broker or custodian can help change title of the account. Procedure is the same as for deposit accounts. Other Stocks and Bonds You can open a brokerage account in the name of the trust and deposit the certificates. You can work with the transfer agent to reissue the stock to the trustee. Tangible Personal Property If titled property, transfer title to the trust. If non-titled, then a declaration that the trust is the owner of the property is used. Vehicles in the name of the trust can cause issues obtaining insurance. Retirement Plans Name the trust as beneficiary. Be careful to avoid tax issues when designating a trust as a beneficiary. Promissory Notes and Other Receivables Typically a written instrument assigning the interest is sufficient. Partnership Interests Partnership Agreements may have restrictions on transfer. Transfer can occur through written assignment signed by settlor and acknowledged by other partners. Corporate Interests Corporations cancel certificates and issue new certificates. For LLC s, the operating agreement will determine how a transfer occurs. Real Property A deed is required to transfer an interest in real property. 12 NC Estate Planning Fundamentals

13 Chapter Three Power of Attorney The Power of Attorney is a tool used to plan for incapacity. It designates another to make decisions about your affairs on your behalf. It grants broad, sweeping authority to another and should not be granted lightly. A Power of Attorney is only effective while you are living and becomes ineffective at your death. The Power of Attorney is one of the most important pieces of your estate plan. It prepares for your possible incapacity. Without such a document, you and your family are vulnerable to suffering through guardianship proceedings. Guardianships must be established when no one has been named to handle the assets of an individual, and no one has been named to make health care decisions for the individual. Guardianships are costly, potentially embarrassing for the client, and awkward for the family member or friend who must initiate the process. Planning for potential incapacity is planning that could well impact the quality of your day-to-day life. Planning for the inevitability of death is important, but, depending on your view, after you die, you will be unaware of probate, taxes, or unhappy beneficiaries. Failure to plan for potential incapacity may result in a less-than-desirable person being in charge of your checkbook and your care decisions. An effective estate plan must include a durable power of attorney. NC Estate Planning Fundamentals 13

14 Principal: The person executing the power of attorney designating someone to act on his or her behalf Attorney-in-fact: The attorney-in-fact is the person being designated to act on behalf of the principal. This does not need to be an attorney. The duty of the attorneyin-fact is to act in the best interest of the principal. He or she must be at least 18. There is not a requirement that he or she be local, but it is usually helpful. The AIF can perform all acts that the principal could perform. Exceptions: Marriage, Divorce, Voting, and Writing a Will. Some powers should be expressly included, such as gifting if it will include gifts to the AIF, designating beneficiaries on IRA s, transferring property into a revocable trust, and disclaiming property. You can limit the power to specific things, such as to a particular real estate transaction or use of a specific bank account. You can make the POA durable, so it continues to be effective when you are incapacitated or incompetent. The POA must be recorded for it to be effective when someone is incapacitated or incompetent. Springing vs. Non-Springing: A POA can be effective when you sign it, or it can be effective upon the happening of an event, like incompetence or incapacity. There are pros and cons of both types. Often, a determination in writing by a physician as to your deteriorated mental state is the triggering event. The POA is effective only while alive, and if you want to revoke a recorded POA, then you will want to serve the revocation and record both proof of service and the revocation with the Register of Deeds where you recorded the POA. 14 NC Estate Planning Fundamentals

15 General Information The basic principle behind powers of attorney is that one person (the principal) gives another (the agent or attorney-in-fact) the power to act on his or her behalf, as long as the principal consents to the action. In other words, one person may act as if they are the other person, but only to the extent that that person gives them permission to do so. A power of attorney is usually created through a written instrument, but no particular form of writing is required. It must be executed under seal if the writing executed by the attorney-in-fact is under seal. A power of attorney must be recorded if the agent wants to act on behalf of the principal with regards to real property. To execute instruments, it doesn t matter if the attorney-in fact signs the principal s name as the attorney-infact or signs his own name on behalf of the principal. The writing defines the scope and duration of the power of attorney. A principal can give the agent very broad and general powers, or define them narrowly. The duration is set out in the writing and can be as long or short as the principal wants. Importantly, even if the principal says that the power of attorney is irrevocable in the writing, the principal usually will still have the ability to take the power away from the agent. There are certain constraints on the agencyprincipal relationship that a power of attorney creates. The first is that the relationship is fiduciary; it implies that the principal has placed trust or confidence in the agent, and the agent or employee is bound to the exercise of the utmost good faith, loyalty, and honesty toward his principal or employer. The second constraint involves public policy. Generally, personal services contract obligations can t be delegated from the principal to the agent. For example, you couldn t, in your powers of attorney, delegate an obligation to paint a portrait for someone. Even with a written durable power of attorney, the principal can t give the agent powers that have been traditionally prohibited by common law, unless it has been changed by statute. The third constraint involves the four undelegables; that the attorney-in-fact can t vote, get married, get divorced, or write a will for the principal, but there is some flexibility. In terms of voting, if there are constitutional implications connected to the voting right, it can t be delegated. This is especially true if a statute requires a personal act. However, the power to vote may be delegated if the voting right has something less than a political election with constitutional implications attached to the right. With marriage, generally both parties need to be present In North Carolina only a competent spouse may commence an action for absolute divorce, but an attorney-in-fact may commence, defend, maintain, arbitrate, mediate, or settle any action under Chapter 55 of the N.C. General Statutes. With regard to wills, almost everyone agrees that you have to execute your own, meaning that you can t delegate the authority to an attorney-in-fact. The statutes are in alignment with that. The fourth constraint on the agentprincipal relationship is a limited power to fund a trust. The power of an agent acting under a power of attorney to deal with a trust is expressly set out in N.C., Section 36C of the Uniform Trust Code. Finally, certain events can terminate the agency such as death of a principal, incapacity of the principal, death of the agent, incapacity of the agent, death or incapacity of one of several joint principals or agents, and revocation. The agent s authority is also ended by the principal s incapacity. If the authority is under a durable power of attorney, this rule is different. With regard to revocation, the principal can revoke the agency at will. The principal only needs to give the agent notice of the revocation, unless the agent has been held out as a general agent to third persons. In that case, the third persons must also be notified. The common law rule in North Carolina is that a power of attorney under seal may be revoked orally. NC Estate Planning Fundamentals 15

16 Durable Power of Attorney A durable power of attorney is essentially a power of attorney that doesn t end when the principal becomes incapacitated or mentally incompetent. The statutory requirements of a durable power of attorney are set out in N.C. Gen. Stat. 32A-8 which reads, [a] durable power of attorney is a power of attorney by which a principal designates another his attorney-in-fact in writing and the writing contains a statement that it is executed pursuant to the provisions of this Article or the words This power of attorney shall not be affected by my subsequent incapacity or mental incompetence, or This power of attorney shall become effective after I become incapacitated or mentally incompetent, or similar words showing the intent of the principal that the authority conferred shall be exercisable notwithstanding the principal s subsequent incapacity or mental incompetence. Unless the durable power of attorney provides otherwise, where the grant of power or authority conferred by a durable power of attorney is effective only upon the principal s subsequent incapacity or mental incompetence, any person to whom such writing is presented, in the absence of actual knowledge to the contrary, shall be entitled to rely on an affidavit, executed by the attorney-in-fact and setting forth that such condition exists, as conclusive proof of such incapacity or mental incompetence, subject to the provisions of G.S. 32A-13. A power of attorney can be written so that it only becomes effective upon the incapacity or mental incompetence of the principal. The actual incapacity or mental incompetence is called the springing event. If the power of attorney is written this way, there is a minor issue with the question of when is a person actually incapacitated or mentally incompetent? The answer has seemingly been to get one or two doctors to attach something to the recordation of the power of attorney, verifying the incapacitation or mental incompetence. Because of the ambiguity in this area, the legislature in 1991 created a statutorily defined method for establishing when the springing event has occurred. The language that was added to N.C. Gen. Stat. 32A-8 reads, [u]nless the durable power of attorney provides otherwise, where the grant of power or authority conferred by a durable power of attorney is effective only upon the principal s subsequent incapacity or mental incompetence, any person to whom such writing is presented, in the absence of actual knowledge to the contrary, shall be entitled to rely on affidavit, executed by the attorneyin-fact and setting forth that such condition exists, as conclusive proof of such incapacity or mental incompetence, subject to the provisions of G.S. 32A-13. Even with this provision, it s still probably a good idea to have two doctors verify the incapacity or mental incompetence. In order for the power of attorney to be effective once the principal becomes incompetent, it has to be recorded. Moreover, for any durable power of attorney to be recorded, it has to be acknowledged first. Unless expressly waived, the agent has to file accounts and inventories. If the power is waived, the Clerk of Superior Court can conduct audits at its discretion. The agent is also entitled to compensation. If the amount isn t stated in the power of attorney, the clerk of Superior Court will set it after considering a number of factors. These include the degree of difficulty and novelty of the tasks required of the trustee, the responsibilities and risks involved, the amount and character of the trust assets, the skill, experience, expertise, and facilities of the trustee, the quality of the trustee s performance, comparable charges for similar services, time devoted to administering the trust, time constraints imposed upon the trustee in administering the trust, nature and costs of services delegated to others by the trustee, where more than one trustee is serving, the reasonableness of the total fees paid to all trustees, and other factors which the trustee or the clerk of superior court deems to be relevant. 16 NC Estate Planning Fundamentals

17 Durable Power of Attorney A power of attorney may contain any provisions relating to the appointment, resignation, removal and substitution of an attorneyin-fact, and to the rights, powers, duties and responsibilities of the attorney-in-fact. If all attorneys-in-fact named in the instrument or substituted die, or cease to exist, or become incapable of acting, and all methods for substitution provided in the instrument have been exhausted, the power of attorney will no longer be effective. Any substitution by a person authorized to make it has to be in writing signed and acknowledged by that person. Notice of every other substitution also has to be in writing and acknowledged by the person substituted. No substitution or notice subsequent to the principal s subsequent incapacity or mental incompetence is effective until it has been recorded in the office of the register of deeds of the county in which the power of attorney has been recorded. A durable power of attorney that is registered in an office of the register of deeds in North Carolina can be revoked by the death of the principal or registration in the office of the register of deeds where the power of attorney has been registered of an instrument of revocation executed and acknowledged by the principal while he is not incapacitated or mentally incompetent, or by the registration in such office of an instrument of revocation executed by any person or corporation who is given such power of revocation in the power of attorney, or by this Article, with proof of service thereof in either case on the attorney-in-fact in the manner prescribed for service of summons in civil actions. A durable power of attorney that is not registered in an office of the register of deeds in North Carolina can be revoked by the death of the principal, any method provided in the power of attorney, being burnt, torn, canceled, obliterated, or destroyed, with the intent and for the purpose of revoking it, by the principal himself or by another person in his presence and by his direction, while the principal is not incapacitated or mentally incompetent; or a subsequent written revocatory document executed and acknowledged in the manner provided herein for the execution of durable powers of attorney by the principal while not incapacitated or mentally incompetent and delivered to the attorney-in-fact in person or to his last known address by certified or registered mail, return receipt requested. As to acts undertaken in good faith reliance upon an affidavit executed by the attorney-in-fact stating that he did not have, at the time of exercise of the power, actual knowledge of the termination of the power by revocation pursuant to the provisions of G.S. 32A-13(b) or by the principal s death, such affidavit is conclusive proof of the nonrevocation or nontermination of the power at that time. This section does not affect any provision in a power of attorney for its termination by the expiration of time or occurrence of an event other than an express revocation. NC Estate Planning Fundamentals 17

18 Powers Often Granted in a Power of Attorney Real Property Transactions Personal Property Transactions Digital Assets Securities Banking Safe Deposits Business Operating Transactions Insurance Transactions Estate Transactions Personal Relationships and Affairs Social Security and Unemployment Benefits from Military Service Tax Matters Employment of Agents Gifts to Others Gifts to Self Renunciations to Benefit Others Renunciations to Benefit Self 18 NC Estate Planning Fundamentals

19 Chapter Four Health Care Power of Attorney The Health Care Power of Attorney is a document which determines the person that will make medical decisions when your provider determines that you lack the ability to make or communicate medical decisions. You can define the scope of the agent s authority to align with personal preferences and religious beliefs. The Health Care Power of Attorney allows you to designate a health care agent to make a broad range of decisions involving health care. The power becomes usable once a physician determines you to be incapacitated. At that point, the health care agent may act on your behalf. If no specific doctor is named, the attending physician will make the determination. You should name at least one agent to act at a time and it is best practice To name at least one backup person in case the first person is unwilling or unable to act. The health care agent you designate must be at least eighteen years of age. The health care agent can make a broad range of health care decisions, including hiring and firing doctors, authorizing admission to a nursing home, deciding about mental health treatment, approving the withholding or withdrawal of lifeprolonging measures, approving an autopsy, donating organs or parts, donating your body for anatomical study, and disposing of remains. NC Estate Planning Fundamentals 19

20 Considerations for Health Care POA As you begin the process of creating a Health Care Power of Attorney, there are a few things worthy of consideration in addition to the scope of power granted. Typically the document will revoke previous HC POA s. If you travel frequently to other states, consider whether to keep a previous one in place that is effective in another state. Consider how your Health Care POA will interact with your living will. You may decide whether your agent prevails if the agent disagrees with your living will. The document does not traditionally provide for compensation. Consider whether your agent should be compensated for their role. If you are naming a non-blood relative, consider whether you should include a provision regarding visitation. A guardian may usurp a health care agent s authority with approval from the Clerk. Consider whether to name your agent as guardian should one be needed. Consider whether to name your agent as your attorneyin-fact, since finances and medical care often go handin-hand. Liability Your agent and the provider will want to know they won t be liable for the consequences of following the content of this document. A Health Care Power of Attorney should provide a release of liability for relying on the provisions contained in the document NC Estate Planning Fundamentals

21 Chapter Five Advance Directive The Advance Directive for a Natural Death, also called a Living Will, is an instruction to your provider which determines when you would like them to withhold or withdraw life-prolonging measures. The document is effective when you cannot make or communicate medical decisions. The author of a Living Will indicates to their provider when they want life-prolonging measures to be withheld. Those measures are defined as medical procedures or interventions which in the judgment of the attending physician would serve only to postpone artificially the moment of death by sustaining, restoring, or supplanting a vital function, including mechanical ventilation, dialysis, antibiotics, artificial nutrition and hydration, and similar forms of treatment. Life-prolonging measures to not include care necessary to provide comfort or alleviate pain. NC expressly validates the use of living wills from other states if they meet the formal execution requirements of NC s statutes. They must be notarized, witnessed by two witnesses who are not related to the declarant, not employees of a health-care facility where the declarant resides, do not have a claim against the declarant, and will not expect to inherit from the declarant. Even if the other state s form is valid, it is best practice to execute one that conforms substantially to NC s statutory form. Providers in NC understand and rely on that form comfortably. NC Estate Planning Fundamentals 21

22 Contents of a Living Will The Living Will allows you to customize the circumstances in which life-prolonging measures are withheld or withdrawn. Whether to withhold/withdraw when you have incurable or irreversible condition which will shortly result in death Whether to withhold/withdraw when you are unconscious and will not regain consciousness Whether to withhold/withdraw when you have a irreversible substantial loss of cognitive function Whether to authorize or require the withholding/withdrawal of life-prolonging measures Whether to continue to receive artificial nutrition and/or hydration Whether the health care agent can override your living will NC Estate Planning Fundamentals

23 Chapter Six Estate Information Guide What follows is an extensive guide for you to fill out so that when the time comes for your loved ones to assist you with your affairs, either during periods of incapacity or after you have passed away, the details of your assets and affairs are centralized for their convenience. As you review the following guide, you may find that some information is wholly inapplicable to you. That is okay. You may also find that some information is more easily conveyed through the attachment of documents. That is also okay. The guide is meant as a starting point for you to begin organizing your affairs into a centralized location. NC Estate Planning Fundamentals 23

24 Estate Information Guide Contents My Personal Information...25 Medical Care...29 Key Contact Information...31 At The Time of My Passing...32 Children, Wards, & Dependents...34 Important Documents...38 Financial Information...39 Business Information...49 Beneficiary Information...52 Personal Effects...59 Property Information...64 Insurance...72 Pets...76 Accounts to Handle & Social Media Accounts...87 Handling My Remains...91 My Personal Wishes NC Estate Planning Fundamentals

25 MY PERSONAL INFORMATION This information will help your loved ones have the identifying information they need to handle your affairs on your behalf. Full Legal Name Maiden Name or Other Names You Might Go By Address (Physical and Mailing) Home Phone Cell Phone Other Numbers Social Security Number Where might we find your Social Security Card? PO Box Number Where might we find your PO Box Key? NC Estate Planning Fundamentals 25

26 City/State of Your Birth? If Outside the US, specify City, Province, Nation Other Identifying Information Specific for that Nation Marital Status Full Legal Name of Spouse Full Legal Names of Children Full Legal Names of Grandchildren If Previously Married, Full Legal Name of Former Spouse(s) Full Legal Names of Siblings Full Legal Name of Father Location of Father s Birth 26 NC Estate Planning Fundamentals

27 Full Legal Name of Mother, Including Variations (Such as Maiden Name) Location of Mother s Birth Job/Occupation (Or Previous Occupation if Retired) US Citizen? If not, Provide Citizenship Information Names and Locations of Religious Entities in Which You Are Involved Describe Military Service, if Any NC Estate Planning Fundamentals 27

28 MEDICAL CARE This will help your loved ones make sure your final wishes are followed in the event you become incapacitated. Do You Have a Living Will? Where is it Stored? Username and Password for Living Will with Secretary of State Do You Have a Health Care Power of Attorney? Where is it Stored? Username and Password for Health Care Power of Attorney with Secretary of State If You Have a Health Care Agent, that Person s Name Is: 28 NC Estate Planning Fundamentals

29 Address, Phone, and for Health Care Agent? Names of Backup Health Care Agents? Address, Phone, and for Backup Health Care Agents? Do You Have a DNR Order? Where is it Located? Do You Have Organ Donation / Anatomical Gift Donation Directive(s)? If so, where is it located? What is Your Blood Type? Medical Conditions (Include the date when you update this information) Medications (Include the date when you update this information) NC Estate Planning Fundamentals 29

30 Allergies & Reactions(Include the date when you update this information) Health Insurance Information Where might we find Your Health Insurance Card? Physician Name and Location? Preferred Hospital and Location? Preferred Pharmacy and Location? 30 NC Estate Planning Fundamentals

31 KEY CONTACT INFORMATION This will assist us with locating people that can assist us in winding up your affairs. Executor Named in Your Will and their Contact Information Attorney and his or her Contact Information Accountant and his or her Contact Information Financial Advisor and his or her Contact Information Insurance Agent and his or her Contact Information Religious Advisor and his or her Contact Information NC Estate Planning Fundamentals 31

32 AT THE TIME OF MY PASSING At the time of death, you may need several death certificates. If you are not sure, request ten. You can obtain them from the funeral home or from the Register of Deeds. Contact the Following People: Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, 32 NC Estate Planning Fundamentals

33 Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, Name, Address, Phone, NC Estate Planning Fundamentals 33

34 CHILDREN, WARDS, AND OTHER DEPENDENTS This section allows us to have information important for contacting children and handling the transition of their care. Name Relationship Address/Phone/ Birthdate and Birthplace US Citizen? Wishes for Ongoing Care of Dependent? Any Medical Information We Should Know? Known Allergies Health care providers: Health insurance information Financial Information Location of Important Documents Wishes Regarding Care? 34 NC Estate Planning Fundamentals

35 Name Relationship Address/Phone/ Birthdate and Birthplace US Citizen? Wishes for Ongoing Care of Dependent? Any Medical Information We Should Know? Known Allergies Health care providers: Health insurance information Financial Information Location of Important Documents Wishes Regarding Care? NC Estate Planning Fundamentals 35

36 Name Relationship Address/Phone/ Birthdate and Birthplace US Citizen? Wishes for Ongoing Care of Dependent? Any Medical Information We Should Know? Known Allergies Health care providers: Health insurance information Financial Information Location of Important Documents Wishes Regarding Care? 36 NC Estate Planning Fundamentals

37 Name Relationship Address/Phone/ Birthdate and Birthplace US Citizen? Wishes for Ongoing Care of Dependent? Any Medical Information We Should Know? Known Allergies Health care providers: Health insurance information Financial Information Location of Important Documents Wishes Regarding Care? NC Estate Planning Fundamentals 37

38 IMPORTANT DOCUMENTS This will help us locate the documents we need to wind up your affairs. Where can we find your original Will? Where can we find your Driver s License? What is your Driver s License Number and Expiration Date? Where is your passport? What is your passport number? Where can we find your birth certificate? Where can we find your marriage certificate? Where can we find your separation and/or divorce documents? Do you keep an address book? Where is it located? 38 NC Estate Planning Fundamentals

39 FINANCIAL INFORMATION This section provides critical information to help us determine who has authority to make financial decisions upon your incapacitation. It also provides information necessary to secure financial assets upon your incapacitation or death. Do you have a Power of Attorney? Where is it Located? Who is your Attorney-in-Fact (agent)? Who are your successor agents? Contact Information? BANK ACCOUNT INFORMATION Checking Account Bank & Location: Account Number: Online Account Username: Password: Security Questions and Answers: NC Estate Planning Fundamentals 39

40 Savings Account Bank & Location: Account Number: Online Account Username: Password: Security Questions and Answers: Other Accounts Bank & Location: Account Number: Bank & Location: Account Number: Bank & Location: Account Number: (such as contacts, where information is located) 40 NC Estate Planning Fundamentals

41 CREDIT CARD INFORMATION Account Number: Website: Online Username: Password: Security Questions and Answers: : Account Number: Website: Online Username: Password: Security Questions and Answers: : Account Number: Website: Online Username: Password: Security Questions and Answers: : NC Estate Planning Fundamentals 41

42 Account Number: Website: Online Username: Password: Security Questions and Answers: : Account Number: Website: Online Username: Password: Security Questions and Answers: : Account Number: Website: Online Username: Password: Security Questions and Answers: : 42 NC Estate Planning Fundamentals

43 INVESTMENT ACCOUNTS Type of Account? Account Number Contact Information Location of Documents? Type of Account? Account Number Contact Information Location of Documents? Type of Account? Account Number Contact Information Location of Documents? NC Estate Planning Fundamentals 43

44 Type of Account? Account Number Contact Information Location of Documents? Type of Account? Account Number Contact Information Location of Documents? Type of Account? Account Number Contact Information Location of Documents? 44 NC Estate Planning Fundamentals

45 OTHER ACCOUNTS THAT WE SHOULD KNOW ABOUT Name of Account Information and Notes Name of Account Information and Notes Name of Account Information and Notes SAFE DEPOSIT BOX Bank(s) & Location(s) Where are the Keys? Are there any deputies or co-owners? Description of contents NC Estate Planning Fundamentals 45

46 TAX INFORMATION It may be necessary to file taxes on your behalf or to use tax returns to assist with investigating assets. This section helps us locate records for that purpose. Where are your records located? Online Tax Accounts Username Password Needed to Access CREDITORS These are institutions to which you may owe money. Mortgage(s) and Other Loans Secured by Real Estate Lender(s) Information Account Number(s) Location of Documents Location of Information about Property Tax Car Loan(s) Lender(s) Information Account Number(s) Location of Documents 46 NC Estate Planning Fundamentals

47 Student Loan(s) Information Lender(s) Information Account Number(s) Location of Documents Where can we find information about medical bills? Where can we find information about credit card bills? Personal Loans Contact Information Account Number(s) Location of Documents Do you have any judgments against you? Where? How much? about Creditors NC Estate Planning Fundamentals 47

48 DEBTORS These are people or institutions that owe you money. Description of Personal Loans Made and Status Contact Information for Debtor about Personal Loans Location of Supporting Documentation Judgments You Have Against Others? Where? How much? about Judgments Location of Supporting Documentation? about Debts Owed to You 48 NC Estate Planning Fundamentals

49 BUSINESS INFORMATION If you have ownership interest in a business, this section will assist us with securing the business assets, business operation continuity, and wind-up, if applicable. Business Name(s) Location(s) Contact Information Landlord Contact Information Key Location Lease Location Employee Name, Address, Phone, and Employee Name, Address, Phone, and NC Estate Planning Fundamentals 49

50 Employee Name, Address, Phone, and Employee Name, Address, Phone, and Employee Name, Address, Phone, and Accountant Name, Address, Phone, and Attorney Name, Address, Phone, and Insurance Name, Address, Phone, and Bank Contact Name, Address, Phone, and Where can we find important documents about the business? Where can we find information about business credit cards? What do we need to know about customers, income sources, and licenses? What other information about business continuity do we need to know? 50 NC Estate Planning Fundamentals

51 Where can we find information about utilities? Who should we contact about the business s online presence? What information do we need to handle online presence matters? NC Estate Planning Fundamentals 51

52 BENEFICIARY INFORMATION After your passing, we will need to take action to secure all death benefits that may be available, contact the Social Security Administration, make inquiries with your employer about benefits, and secure investment and retirement accounts. LIFE INSURANCE Type of Policy Contact Information Amount Beneficiary Location of Documentation Account Number Type of Policy Account Number Contact Information Amount Beneficiary Location of Documentation 52 NC Estate Planning Fundamentals

53 Type of Policy Account Number Contact Information Amount Beneficiary Location of Documentation Type of Policy Account Number Contact Information Amount Beneficiary Location of Documentation Type of Policy Account Number Contact Information Amount Beneficiary Location of Documentation NC Estate Planning Fundamentals 53

54 EMPLOYER BENEFITS Contact Person for Discussing Employer Benefits Any Account Numbers or Identifying Information to Access Name, Phone, , and Address of Contact Person Location of Documentation SOCIAL SECURITY INFORMATION Location of Documentation Account Number 54 NC Estate Planning Fundamentals

55 RETIREMENT ACCOUNTS Type of Account Institution Name Account Number Contact Person s Name, Address, Phone, and Location of Documentation Type of Account Institution Name Account Number Contact Person s Name, Address, Phone, and Location of Documentation NC Estate Planning Fundamentals 55

56 Type of Account Institution Name Account Number Contact Person s Name, Address, Phone, and Location of Documentation Type of Account Institution Name Account Number Contact Person s Name, Address, Phone, and Location of Documentation 56 NC Estate Planning Fundamentals

57 Type of Account Institution Name Account Number Contact Person s Name, Address, Phone, and Location of Documentation Type of Account Institution Name Account Number Contact Person s Name, Address, Phone, and Location of Documentation NC Estate Planning Fundamentals 57

58 VETERAN S BENEFITS Veterans Affairs Regional Office Account Number Contact Name, Address, Phone Number, and Location of Documents 58 NC Estate Planning Fundamentals

59 PERSONAL EFFECTS Description of Item Location and Wishes Description of Item Location and Wishes Description of Item Location and Wishes NC Estate Planning Fundamentals 59

60 Description of Item Location and Wishes Description of Item Location and Wishes Description of Item Location and Wishes 60 NC Estate Planning Fundamentals

61 Description of Item Location and Wishes Description of Item Location and Wishes Description of Item Location and Wishes NC Estate Planning Fundamentals 61

62 FIREARMS Location of Firearms Registration Information Permit Information Location of Documentation Related to Gun Trust Information Needed to Access Firearms STORAGE UNITS Location Storage Company Name Name, Address, Phone and of Contact Person Unit Number(s) Location of Keys 62 NC Estate Planning Fundamentals

63 SAFE Location of Safe Location of Keys Combination Description of Contents OTHER VALUABLES Description, Location, and Information to Access NC Estate Planning Fundamentals 63

64 PROPERTY INFORMATION This section will assist us in locating and securing real estate, personal effects, and other valuables at your death. REAL ESTATE Address Co-owners Location of Documentation Location of Keys Security System Information 64 NC Estate Planning Fundamentals

65 Address Co-owners Location of Documentation Location of Keys Security System Information Address Co-owners Location of Documentation Location of Keys Security System Information NC Estate Planning Fundamentals 65

66 Address Co-owners Location of Documentation Location of Keys Security System Information Address Co-owners Location of Documentation Location of Keys Security System Information 66 NC Estate Planning Fundamentals

67 LEASE INFORMATION FOR RENTED PROPERTY Date of Expiration of Lease Location of Keys Name, Address, Phone, & for Property Manager or Landlord VEHICLES AND OTHER DMV TITLED PROPERTY Vehicle Year Model Make Color VIN/ID Location of Title Location of Documentation about Liens Location of Keys State of Title Title Number NC Estate Planning Fundamentals 67

68 Vehicle Year Model Make Color VIN/ID Location of Title Location of Documentation about Liens Location of Keys State of Title Title Number Vehicle Year Model Make Color VIN/ID Location of Title Location of Documentation about Liens Location of Keys State of Title Title Number 68 NC Estate Planning Fundamentals

69 Vehicle Year Model Make Color VIN/ID Location of Title Location of Documentation about Liens Location of Keys State of Title Title Number Vehicle Year Model Make Color VIN/ID Location of Title Location of Documentation about Liens Location of Keys State of Title Title Number NC Estate Planning Fundamentals 69

70 Vehicle Year Model Make Color VIN/ID Location of Title Location of Documentation about Liens Location of Keys State of Title Title Number Vehicle Year Model Make Color VIN/ID Location of Title Location of Documentation about Liens Location of Keys State of Title Title Number 70 NC Estate Planning Fundamentals