The Importance of Estate Planning for Canadian Families

Estate planning can sound like something for the very wealthy or the very old. In fact, it matters for anyone who wants to protect their family and have a say in what happens if they die or can't make decisions themselves.

What happens without a plan

If you die without a will, provincial law decides who receives your estate and who manages it. The result may not be what you would have wanted, and the process can add stress and delay for your family at a difficult time.

The main parts of an estate plan

• A will, which sets out who receives your assets and who will carry out your wishes
• Powers of attorney, which name someone you trust to manage your property or personal care if you can't
• Beneficiary designations on your registered accounts and insurance, which should match your overall plan
• Trusts, which may be useful in some family or financial situations

Families with particular needs

Planning is especially important if you have young children, a blended family, a family member with special needs, a business, or property in more than one country. Each of these can raise questions that are best answered in advance.

Keep it up to date

Marriage, separation, a new child or a move to another province or country can all affect your plan. Review it after any major change, and from time to time even when nothing seems to have changed.

Getting started

Begin by listing your assets and thinking about who you would trust to act for you. Your legal documents should be prepared by a qualified lawyer, and your financial plan should support them, so that everything works together.