Estate Planning

How to Write a Last Will and Testament

By
Alexander Harmsen
Alexander Harmsen is the Co-founder and CEO of PortfolioPilot. With a track record of building AI-driven products that have scaled globally, he brings deep expertise in finance, technology, and strategy to create content that is both data-driven and actionable.
Reviewed by
PortfolioPilot Compliance Team
The PortfolioPilot Compliance Team reviews all content for factual accuracy and adherence to SEC marketing rules, ensuring every piece meets the highest standards of transparency and compliance.
How to Write a Last Will and Testament

Drafting a last will and testament is a crucial step in personal financial management, ensuring your assets are distributed according to your wishes after you pass. While it might seem daunting, the process can be streamlined with proper guidance. Here’s a step-by-step guide to creating your last will and testament, ensuring the process is transparent, compliant, and truly reflective of your intentions.

Understanding the Importance of a Last Will and Testament

A last will and testament is more than just a legal document. It provides peace of mind for both you and your loved ones, ensuring that your assets, including investments, real estate properties, and personal valuables, are handled as you wish. Without a will, state laws will determine how your assets are distributed, often leading to prolonged legal challenges and family disputes.

Step 1: Gather Your Information

First, compile a comprehensive list of your assets. This includes bank accounts, stocks, real estate properties, and valuable personal items, such as jewelry and artwork. Also, make a list of your debts, including mortgages, loans, and lines of credit. Comprehensive tools like PortfolioPilot can be useful in tracking these assets, encompassing everything from cryptocurrency investments to traditional stock holdings.

Step 2: Decide on Beneficiaries

Identify who should inherit your assets. These can include family members, friends, or charitable organizations. Be specific about who receives what to avoid potential confusion or disputes among the beneficiaries.

Step 3: Choose an Executor

Your executor will carry out the wishes outlined in your will. This should be someone you trust, who is organized, and capable of handling significant responsibilities, including settling your estate's final bills and taxes. Your choice of executor can significantly influence how smoothly your estate is settled.

Step 4: Create Your Will

Consider drafting your will independently, using an online template, or seeking advice from a legal professional to ensure all legal formalities are met. Clearly identify the document as your will, state your identity and estate, and explicitly articulate your asset distribution wishes. Remember to adhere to local laws, which may require specific wording or conditions to legally recognize the will.

Step 5: Sign and Witness Your Will

Sign your will in the presence of witnesses. Most states require two or more witnesses who are not beneficiaries of the will. These witnesses must also sign, attesting that they have observed you signing the will and that you appeared to be of sound mind.

Step 6: Store Your Will Safely

Keep your will in a secure, accessible location and inform key individuals about its whereabouts. Avoid safety deposit boxes, as these can be sealed upon death, delaying access when it is most needed. A common practice is to leave the signed will with the chosen executor or trusted family member.

Futures and Insights: Digitizing Your Estate

It is advisable to regularly review your estate planning strategy, particularly as your financial situation changes or as digital assets evolve. Regularly revisit your estate planning strategy, especially as your financial situation changes or as digital assets evolve. Comprehensive tools that monitor all aspects of your net worth, such as PortfolioPilot, can be particularly helpful in ensuring you have a full overview of your assets for any future amendments.

Empowering Your Financial Legacy

Writing a will is empowering. It puts you in control of your financial legacy and shields your loved ones from potential disputes. Each step, from cataloging your assets to signing the final document, solidifies the assurance that your wishes will be honored. Remember, your will is a living document that should reflect your current circumstances, poised to adapt just as fluidly as the assets it covers.

Last Will and Testament FAQs

What happens if you die without a last will and testament?
Without a will, state intestacy laws determine how your assets are distributed, which can cause delays, added legal costs, and potential family disputes.
Why is it important to compile a list of debts when drafting a will?
Listing mortgages, loans, and credit obligations ensures liabilities are accounted for before asset distribution, providing a clearer settlement path for beneficiaries.
What are the legal requirements for witnesses to a will?
Most states require at least two witnesses, who cannot be beneficiaries, to observe the signing and confirm the testator was of sound mind.
Why should wills avoid being stored in safety deposit boxes?
Safety deposit boxes may be sealed upon death, delaying access during probate. A safer option is leaving the will with an executor or trusted family member.
How often should you revisit or update your will?
Wills should be reviewed after major life events such as marriage, divorce, births, or significant asset changes to ensure they reflect current circumstances.
What responsibilities does an executor have in carrying out a will?
Executors settle final bills, pay taxes, and ensure assets are distributed as directed, significantly influencing how smoothly the estate is managed.
Why should beneficiaries be clearly specified in a will?
Clear beneficiary designations reduce ambiguity, helping avoid disputes and ensuring that assets transfer according to the testator’s exact wishes.
Can an online template be sufficient for creating a valid will?
Templates may provide a basic structure, but legal formalities like state-specific language, signatures, and witnessing must still be followed to validate the document.
How does a will contribute to family financial stability?
By documenting asset distribution in advance, a will can minimize uncertainty, reduce conflict, and provide peace of mind for loved ones after death.
What role does digital asset tracking play in estate planning?
As digital holdings like cryptocurrencies grow, monitoring tools ensure these assets are not overlooked when drafting or updating wills.
Why is it important to identify a will explicitly as such?
Stating clearly that the document is a last will and testament, along with the testator’s identity and estate, helps avoid disputes about its validity.

How optimized is your portfolio?

PortfolioPilot is used by over 30,000 individuals in the US & Canada to analyze their portfolios of over $30 billion1. Discover your portfolio score now:

Sign up for free
1: As of February 20, 2025