Getting organized for the afterlife
When we speak with clients about their legal documents, clients often question why they need wills, powers of attorney, or health care proxies. The answer is we don’t know how life will unfold. Sadly, we’ve witnessed calamitous events happening to people of all ages.
If a family with a minor doesn’t have a will and something happens to the parents, a judge will likely decide who will get custody of the child. While it’s often difficult to decide which family member, or friend, will be assigned custody in a will, it’s unlikely that a lot of couples look at each other and say: “Let a judge decide who will raise our kids.” Lacking a will, a stranger, who knows nothing about the couple, their family, or their child(ren), will make a very significant decision because the parents didn’t have a will to express their wishes.
As we periodically do, here’s a partial list of documents you should retain1,2.
Will: “A will is a legal document that lays out who will inherit your assets…and who will assume guardianship of children and pets.” Everyone should have a will. Even if you don’t have a family, it’s still likely you own something of substance, like a checking account, or a car, or even a pet. (Nobody thinks about pets when they say they don’t need a will.) You don’t necessarily have to hire an expensive estate attorney to prepare a will, as there are plenty of sites online where a simple will can be quickly and easily prepared. Guardianship issues aside, in some states, if the deceased has no living relatives, the state will inherit all the assets. How many people would willingly choose that option? Regarding where to store your will, two recommendations: ensure someone knows where it is stored, and make sure the executor has legal access to the document.
Healthcare proxy: “To specifically allow a designated person to make health care decisions if you cannot, you need a medical power of attorney or a health care proxy.” If you want to “specify the treatments and end-of-life care options you do or do not want,” you need a legal document so your decisions are known. (An advance directive may also be used to outline treatment preferences, but it may not be as binding in some states as a healthcare proxy.) Of utmost importance is selecting someone to carry out your wishes.
Power of attorney: This document gives a person you trust the legal authority to act on your behalf – for example, by managing business and financial decisions. A durable power of attorney allows your designated person to continue to manage your affairs, even if you become incapacitated. The operative words: a person you trust.
Letter of instruction: Life is about so much more than the mere contents of a will, and a letter of instruction can clarify how and why you made some of the decisions that were included in the will. When it comes to dividing assets among children, for example, fair doesn’t always mean equal. A well-crafted letter can help to explain why one child received more (or less) than a sibling, or why certain assets were allocated for charitable purposes.
Social and digital media: “Create a document stipulating how you want your online accounts and all digital content handled when you die and designate a representative, like a family member, to take control.” You’ll also have to “create a list of usernames and passwords to help your representative log into your accounts.” While this list should be safely stored, your representative will ultimately need to access it to carry out your wishes, such as turning off recurring monthly payments.
Watch those beneficiaries: After you’re done signing your will and have a good understanding of how your estate will be distributed, go to all your accounts that have a beneficiary, such as an IRA or a 401(k). The beneficiaries of IRAs and 401(k)s are not governed by your will, so make certain the beneficiaries listed on those accounts align with your wishes. (Sadly, you wouldn’t be the first person whose 30-year-old IRA went to an old boyfriend or girlfriend because the beneficiary designation was never updated.
1 Schupak, Amanda. “Let’s Talk About Death.” The New York Times, 17 July 2025.
2 Feinberg, Shaina. “Death, and Preparation for It, in an Age That Avoids Both.” The New York Times, 16 Mar. 2024
S.F. Ehrlich Associates, Inc. (“SFE”) is a registered investment advisory firm in New Jersey that offers investment advisory, financial planning, and consulting services to its clients, who generally include individuals, high net worth individuals, and their affiliated trusts and estates. Additional disclosures, including a description of our services, fees, and other helpful information, can be found in our Form ADV Part 2, which is available upon request or on the SEC's website at www.adviserinfo.sec.gov/firm/summary/121356.
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