Estate planning checklist: Basics for the estate planning process

Estate planning guidance helps those who want to protect their legacy and provide support for loved ones. Planning ahead allows a person to name which beneficiaries will receive their assets and leave instructions for property, children, healthcare, and final arrangements. To help you get started—or take the next step—with estate planning, here’s an overview of the basics and six essential items you may want to include on your estate planning checklist.

What is an estate plan?

An estate plan is a set of legal documents that outline how a person's assets, property, and personal wishes will be managed and distributed after their death or in the event they become incapacitated. Regardless of income or net worth, understanding what is an estate plan and its importance can help minimize taxes, reduce family strain, designate power of attorney, and ensure that loved ones are cared for. Following estate planning guidance is the first step toward financial confidence for yourself and your family. Plus, having wishes clearly outlined can make decision-making for loved ones less stressful and more straightforward.

Estate planning checklist

The estate planning process doesn’t need to be overwhelming. To get your estate plan started or finalize one in progress, consider using this estate planning documents checklist to ensure you have these six essential items covered.

 1. Create asset inventory

To begin the estate planning process, a good place to start is creating a catalog of everything you own. Start with a list of tangible possessions, including:

• Housing: house, condo, land, or other properties
• Vehicles: cars, motorcycles, boats, aircraft
• Collectibles: jewelry, trading cards, rare coins, artwork, etc.

Next, make a list of all intangible assets, for example:

• Checking and savings accounts
• Certificates of deposit
• Stocks, bonds, and mutual funds
• Life insurance policies
• Retirement accounts—401(k) plans, individual retirement accounts
• Health savings accounts
• Proof of Business Ownership

Once an inventory is created, gather any estate planning documents, like recent statements from the bank, life insurance company, and retirement accounts, and estimate the value of each item using appraisals or account statements.

 2. Establish a will

For some, this will be a key area where the estate planning process can start to take shape. Creating and finalizing a will can help ensure money and property are distributed to beneficiaries according to personal wishes. This legal document outlines the distribution of assets after death and generally includes designation of an executor, beneficiaries, instructions for how and when they will receive the assets, and guardians to any minor children. The wording in a will should be consistent with how allocated assets are outlined in other documentation, such as insurance policies or retirement accounts, to prevent it from being contested.

Without a will, state officials may determine how a person’s assets are distributed. A will can be drafted by a lawyer or created independently using online resources. If a person chooses to draft one themselves, they will need to sign it in front of witnesses. Witnessing laws vary by state, but typically, it is two witnesses who are not mentioned in the will.

A trust allows a person to designate portions of their estate to a trustee while they’re still alive. Unlike wills, most trusts cover a specific asset, such as a piece of property, rather than an entire estate. A trust is often set aside for underage beneficiaries who can only claim it when they are old enough to manage assets.

 3. Assign a power of attorney

A financial power of attorney designates someone to manage your financial affairs if you’re medically unable to do so. A designated power of attorney can act on behalf of a person in legal and financial situations, access and manage assets, and pay bills and taxes. Without a power of attorney, a court may decide what happens to an estate if a person is found incapable of managing it and a probate judge will appoint a guardian or conservator to oversee the management of the estate.

4 . Designate beneficiaries

An important aspect of the estate planning process is naming beneficiaries. Bank accounts, life insurance policies, individual retirement accounts, annuities, and brokerage accounts all likely require a primary beneficiary to be named, and often a secondary beneficiary. Regularly review these designations, especially after certain life events like the birth of a child, marriage, or divorce. Like wills, trusts, and powers of attorney, if a beneficiary is not named—and no contingent or alternate beneficiaries are designated—or if the named beneficiary is underage or has passed away, a court will likely decide what happens to the estate.

5. Write a letter of intent

A letter of intent is an informal document of instructions for an executor or family member outlining personal and financial wishes following death. These letters are not legally binding but can be added to an estate plan to provide more information about funeral and burial arrangements, financial information, digital information, and personal items. While this document is not considered a valid legal document, it can help a judge understand intentions, which can aid in the distribution of a person’s assets.

6. Appoint guardianship

A designation of guardianship is an essential estate planning document that allows an individual to name a person to act as a guardian should they become incapacitated or pass away for any minor children or children with special needs. If a guardian is not appointed, the court will often decide who will take care of the children.

Money management tips for estate planning

Effective estate planning and money management tips go hand-in-hand. To help make sure everything is covered on an estate planning checklist, it can be beneficial to talk to a financial professional, attorney, and/or estate tax professional who can simplify the process and help explain state regulations and inheritance taxes. These professionals can answer any questions, make sure all paperwork is in order, and be a resource for loved ones.

This is also a good time to have open conversations with family members about financial wishes and responsibilities to help reduce confusion, ease stress, and ensure everyone is on the same page. When you create a sound estate plan, you can feel more confident that your assets will go to the right people and lessen the financial burden on family members by minimizing legal and tax issues.

Remember to review an estate plan regularly, especially after major life events like getting married, having a baby, or moving. As you get started, you don’t have to do everything at once. Taking small steps now can make a big difference later. With the right guidance and open family communication, estate planning can give you greater confidence about the future and that your loved ones are protected.

Plan confidently for the future with Midland National

Estate planning is a key step toward protecting what matters most to you. Midland National brings decades of experience in long-term planning solutions, including life insurance and annuities that can help support your goals across generations.

Whether you're just starting your estate planning documents checklist or looking to strengthen your overall financial strategy, Midland National’s knowledgeable financial professionals are ready to help you every step of the way.

The term financial professional is not intended to imply engagement in an advisory business in which compensation is not related to sales. Financial professionals that are insurance licensed will be paid a commission on the sale of an insurance product.

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