Death and incapacity are inevitable, yet many Canadians don’t have a will or power of attorney in place to ensure their wishes are respected when they die or are unable to make decisions for themselves. In Ontario, without a will, the government will distribute your assets based on a set formula, which may not align with your wishes. This is why it’s important to have a will and power of attorney in place.

What is a Will?

A will is a legal document that outlines how you want your assets distributed after your death. It can also name an executor, who will be responsible for carrying out your wishes, and a guardian for any minor children. Without a will, the government will decide who will receive your assets and who will be responsible for distributing them.

When creating a will, it’s important to think about all of your assets, including bank accounts, investments, property, and personal items. You should also consider any debts you have, as they will need to be paid from your estate before your assets can be distributed. You can create a will on your own, but it’s recommended to consult with a lawyer to ensure it is legally binding and reflects your wishes.

What is a Power of Attorney?

A power of attorney is a legal document that allows you to appoint someone to make decisions on your behalf if you become unable to do so. There are two types of power of attorney in Ontario: a continuing power of attorney for property and a power of attorney for personal care.

A continuing power of attorney for property allows the person you appoint to manage your finances and assets, including paying bills, managing investments, and selling property. A power of attorney for personal care allows the person you appoint to make decisions about your health care, housing, and daily living needs.

Why are They Important?

Having a will and power of attorney in place is important for several reasons. First, it ensures that your wishes are respected when you die or become unable to make decisions for yourself. This can provide peace of mind for both you and your loved ones.

Second, having a will and power of attorney can prevent family disputes and legal battles. When there is no clear plan in place, family members may disagree about how assets should be distributed or who should make decisions on your behalf. This can lead to costly legal battles and strain relationships.

Finally, having a will and power of attorney can save time and money. Without a will, the government will distribute your assets according to a set formula, which can be time-consuming and costly for your loved ones. Having a power of attorney in place can also prevent the need for court-appointed guardianship, which can be expensive and time-consuming.

In conclusion, having a will and power of attorney in place is crucial for ensuring your wishes are respected, preventing family disputes, and saving time and money. While it’s possible to create these documents on your own, it’s recommended to consult with a lawyer to ensure they are legally binding and reflect your wishes. Don’t wait until it’s too late – start planning for the future today.