Hilary Muza 
THERE comes a time when working individuals look beyond self-actualisation in their careers. After they have achieved a certain number of their personal goals, they begin to look beyond themselves and start to think about posterity.
They begin thinking about accumulating as much wealth as they can for the sake of their children and/or other dependants. This accumulation is done in vain without proper estate planning.
What is estate planning?
Estate planning is the preparation of tasks that serve to manage an individual’s asset base in the event of their incapacitation or death. In other words, it involves setting up a plan that establishes who will eventually receive your assets. It also makes known how you want your affairs to be handled in the event you are unable to handle them on your own for any reason. Anticipation of death, therefore, should not be the only reason one should think about estate planning. It is often assumed that to plan one’s estate all that needs to be done is writing a will. There is much more that goes into a proper estate planning process.
Prepare an inventory
The first thing one must do is to prepare an itemised inventory list. This is simply putting together all of your valuables including one’s home/s and other immovable assets, jewellery, vehicles, art collection, computers and so on.
List intangible assets
Next, list all incorporeal assets like stocks, shares, intellectual property rights. This list should include all account numbers as well as a list of documents that prove the existence of the incorporeal assets. It is also a good idea to list contact details of any individuals who might have possession of any of the above documents.
List your debts
It makes little sense to want to leave an estate that has more debt than it has assets. It is crucial that one be aware of all their financial obligations and make a list of them. These include mortgages, loans and any other debts one might have. It is also a good idea to list contact details of any creditors and the location of any agreements.
Make a membership list
Some professional organisations may have life insurance benefits that one’s beneficiaries may be entitled to collect. Memberships of any not-for-profit organisations is also important as there may be provisions within their constitutive documents that cater to benefits for beneficiaries upon their demise.
Make copies
Inventory lists summarise the assets that one’s estate has. As soon as the list is done, it must be copied and shared with people that hold your absolute trust. This may include a spouse, one’s lawyer and a copy to be kept by the testator in a safe place.
Update your pension and insurance accounts
You can designate a list of beneficiaries that will receive your pension benefits upon your death. The same goes for insurance accounts. Reviewing beneficiary lists is particularly important where one has divorced and remarried.
Select an executor/executrix
This is the individual who will be in charge of administering your estate when you die. They must be responsible, principled and of a good mental state. It is not always safe to assume that your spouse is the best choice because they might be overwhelmed with grieving while being asked to tend to your estate. In the even that there is no-one at hand to choose, listing a legal practitioner as one’s executor/executrix is also a good idea.
Drafting the will
All the steps up to this point have been to prepare you for writing the will. It is an exercise best done with a clear picture of what your assets and liabilities are, who you can trust and how you intend to have your assets dealt with upon your death. Everyone must have a will. It makes the grieving process much easier on your loved ones and removes the risk of turmoil when it comes time to distribute assets.
Further, dying intestate (without a will) initiates a process that takes a long time to conclude and that potentially creates a deep divide among beneficiaries as opposed to unifying them. Once a will is prepared, copies must be made and one shared with your legal practitioner, estate administrator and another kept in a safe place at a place of your choosing.
Other important documents
Once the will has been prepared, there are other documents that ensure the proper running of your affairs should anything happen to you. Creating special powers of attorney to deal with specific aspects of your well-being is recommended. A power of attorney is the authority to act for another person in specified or all legal or financial matters.
A special medical power of attorney can be set up to ensure that people you trust will be there handling your affairs should anything happened to you. A special financial power of attorney can also be created to cater for your finances during such a period. Further, a letter of instruction can direct step-by-step what will happen at the funeral or in the period leading up to one’s demise. Finally, it is critical that all concerned individuals have copies of these documents.
Ultimately, most people see the wisdom in estate planning but however, procrastinate and leave it too late. Bad estate planning (or none at all) can lead to family disputes, assets falling into the wrong hands and long court battles. The time to plan your estate is now.
Muza is a duly admitted lawyer with expertise in business law, labour law and commercial litigation. He writes in his personal capacity. For feedback, email him at hilarykmuza@gmail.com or call on +263719042628.
