What happens to your assets if you die without a Will?

It is important to be thoughtful when making decisions about your financial future, especially if you have assets. Writing a will is one of the most important things you can do to ensure that your wishes are carried out after you pass away. But what happens if you don't write a will? Unfortunately, without a will, it's left up to the government to decide how your assets are distributed. 

What Are The Laws for Intestacy? 

Each state has its own set of laws for intestacy—the process of distributing property when someone dies without a valid will or trust. These laws, which vary from state to state, all focus on the same basic premise: Property passes directly from the deceased person to their family members (or other eligible recipients) according to predetermined percentages. 

The first step in intestacy is determining who qualifies as a "family member" under the law. Generally speaking, that includes spouses, children, parents, siblings, nieces and nephews and more distant relatives (in some cases). If any of those people are not alive at the time of death then they are not considered eligible recipients—their portion would be divided among their children (if any), and/or other descendants. 

If there are no living relatives or descendants who qualify as family members under the intestate law then the entire estate would go back to the state where it originated from. This means that all of your assets—your house, car and bank accounts—would become property of the state in which you lived at the time of death. 

The likelihood of this happening increases with each passing year because more people are choosing not to write wills or trusts before they die. That's why it's important for everyone—regardless of age or financial status—to create an estate plan while they're still alive so that their wishes can be carried out after they've passed away. 

Takeaways

Without a will or trust in place, it’s up to each individual state’s laws governing intestacy to determine how your assets will be distributed upon your death – which could mean that some or all of your assets could go back into public hands instead of going where you intended them to go. Crafting an estate plan now can help ensure that your wishes are respected after you’re gone and give you peace-of-mind knowing that your hard-earned money won’t end up somewhere else entirely. Talk with a lawyer today about creating an estate plan so that those who survive you can rest assured that everything is taken care of properly.