One Size DOESN'T Fit All: Your Last Will and Testament

Although the need for a will often comes up in lists of things to work on if you're interested in getting your affairs in order, powers of attorney usually don't make the cut as a topic of discussion...

There's a lot of one-size-fits-all advice out there online, but it's also pretty common to find it in somewhat unexpected places as well – at your local bank, for example.

Here's the thing: No matter how good something sounds, or how well-intentioned the advice might be, if it's boilerplate or not right for you, there's a fair chance that it's not worth following with blind acceptance.

We asked three experts, all with different backgrounds, to talk about the overly-generic advice they see on a regular basis, and how to recognize when certain advice might NOT be quite appropriate to your situation.

See also:
The financial journalist – Rob Carrick, The Globe and Mail
The credit counselor – Laurie Campbell, Credit Canada Debt Solutions



Pat Robinson, partner
Goodmans LLP

We talked about do-it-yourself wills recently with Robinson, who specializes in estate law, among other things, at Goodmans LLP.

Although the need for a will often comes up in lists of things to work on if you're interested in getting your affairs in order, powers of attorney usually don't make the cut as a topic of discussion.

A power of attorney is almost as important, as this gives someone the authority to act on your behalf if you are unable to make decisions – a scenario that is almost as likely at some point in your life as your eventual demise.

There are two types: a continuing power of attorney for property and a power of attorney for personal care. In the first case, your attorney is given the power to make any decisions you might normally make for yourself, regarding your money and your property. This includes paying your bills or your taxes, or even renewing your mortgage, if necessary, if you are unable to do these things for yourself.

Your personal care attorney, meanwhile, would make decisions about your health and medical care.

Some do-it-yourself will kits will touch on the matter, but usually as a means of selling another kit, or further access to the software you're using. In reality, however, it is free and comparatively simply to create a power of attorney on your own.

"There's an actual form attached to the legislation," says Robinson. (The legislation she's referring to is the Substitute Decisions Act, 1992.) "Assuming you fill in the form properly, I think this is probably a good thing."

Why?

"If someone is not going to have a power of attorney because they don't want to pay for it, they're better off to go and get one from the internet and sign it," she says. "You can only deal with someone's assets when they become incompetent with a power of attorney in place. If they don't have one, you have to make a court application. It's a very expensive process. It's equally important to have both a will and the two types of powers of attorney."

When creating a will too, she recommends people review and "have a good grasp" of their whole estate.

Questions to ask:

• If something were to happen tomorrow, how would you want your assets dealt with?
• Who should be calling the shots about your health care and your financial state of affairs?
• Who are the people best equipped to deal with those tasks?

Finally, "what family dynamics do you have that you need to address?" she asks. "When someone dies, whatever sibling rivalries or family dynamics that were playing out before tend to get highlighted."



More One Size DOESN'T Fit All:
Debt Settlement (Laurie Campbell, Credit Canada)
Advice From Your Bank (Rob Carrick, The Globe and Mail)



RELATED ARTICLES:
DIY Wills: Tips and Pitfalls
Powers of Attorney [Ontario, Ministry of the Attorney General]




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Kate McCaffery is a freelance writer, editor and former urbanite, now living somewhere in between the lake, the ski hill and some farmer's cow path. Visit mccaffery.ca/kate2.0/ for more information.