At Herbie, we clarify estate planning by guiding you through five essential questions:

• What do you have?
• Who do you want to give it to?
• Who do you want to carry out your wishes?
• Who will be responsible for your wellbeing if you can’t care for yourself?
• Who should take care of your children if you pass away?

Answering these five questions makes estate planning much easier. Let’s break them down one at a time.

1. What do you have?

Step 1 is figuring out what you own.

• Start by making a list.  Count your bank accounts, retirement accounts, real estate, your belongings, and anything else of value. With Herbie, you’ll be able to input all these assets right into your centralized hub for estate planning.

2. Who do you want to give it to?

Now it’s time to decide what happens to your assets after you pass away.

• Not all assets pass under your Will.  While some assets will pass under your Will, others will be distributed by a bank based on a Beneficiary Designation. Some may pass automatically to a joint owner. In the coming weeks, we will share more about these specific categories in future articles.

For many, the plan is simple. For example, spouses generally leave everything to each other, and then to their kids. We use these common patterns to streamline the process of estate planning.

But everyone’s situation is unique. So think about who matters most to you: family, close friends, or even charities. Herbie will make it easy to add all the important members of your circle so that you can tailor your plan.

3. Who do you want to carry out your wishes?

After you’re gone, someone needs to be in charge. This person, called the Executor or, in some states, the Personal Representative, handles the administrative tasks of your estate after you pass away and makes sure your wishes are followed.

• Name a Trustworthy Person.  Most people name a spouse, child, sibling, close friend or an advisor. You can name multiple people and also a backup in case your first choice isn’t able to partake.

Most importantly, think: who you trust to be in charge of carrying out your wishes after you’re gone?

4. Who will be responsible for your well-being if you can’t care for yourself?

Life can be unpredictable, and for one reason or another, you or a loved one may end up being in need of relying on others to manage personal finances and healthcare decisions. Planning for these circumstances now will greatly relieve stress later on.

• Financial Power of Attorney: The person you name as your agent will be able to access your bank accounts and finances, and make payments on your behalf, to take care of your affairs at a time in life when you’re not able to do so yourself.

• Healthcare Proxy aka Advance Healthcare Directive: The person you name here will be able to make medical decisions on your behalf if you are incapacitated.

You don’t need to name the same person to take care of your finances as your healthcare, and you can name backups as well. You will be able to make, view and revise these documents on Herbie.

5. Who should take care of your children if you pass away?

If you have kids, it is crucial to name who you would want to be their Guardian if you pass away (and if you’re married, if your spouse also passes away). You name your Guardian directly in your Will, and you’ll be able to do this with Herbie.

When you think about who should be Guardian, here are a few factors to consider:

• Where will your kids live?
• What school will they go to?
• What’s the neighborhood like?
• Do your kids have to move far?
• Will they have other family members nearby?
• Who shares your values?
• Do your kids get along with other kids that live at the Guardian’s house?

People often name a sibling or their parents as guardians, but you could also name a friend. You can additionally name a backup in case the primary Guardian is not able or willing to take in the children. Many people may originally name their parents, but you should reconsider who you name over time, as those people age and relationships change.

You’ve Got This!

Now you’ve gathered all the main pieces to begin your estate plan. You can do this, and Herbie is here to help.