Making a Will
A Will states how a person wants to dispose of their possessions after death. A Will should be drafted by an attorney. Even small mistakes or omissions in a will can cause big problems after you're gone and can't fix them.
You can direct how your property shall be distributed among relatives, friends, and charities. You have near absolute discretion about how and to whom your property shall be distributed after death, but only if you take the time to write a will. Otherwise, your estate will be distributed according to the laws of New York, through the laws of intestacy.
The major exception to this absolute discretion is that you cannot disinherit your surviving spouse. A person who dies leaving a surviving spouse must leave the surviving spouse at least one-half (1/2) of their net estate if there are no children or at least one-third (1/3) if there are one or more children. The surviving spouse's share can be left outright or in trust if the deceased spouse's will so directs.
When dividing property, the decedent may distribute the estate by dollar amounts, or by percentage shares, or by using both methods. For example, the Will might leave $5,000 to each grandchild and of the remaining amount, "one-half to my husband and one half in equal shares among my children."
The Will names an executor to collect assets, pay bills, file tax returns, and otherwise to administer and distribute the estate. The executor could be a relative, friend, or if the estate is substantial, a bank or trust company. The executor gets an attorney to "probate" the Will.
To start the estate administration, the attorney, in the name of the executor, will petition the court for letters testamentary. That gives the executor the authority to administer the estate. After qualiftying as executor, he or she will require all banks, brokers and companies in which the decedent owned stocks will transfer the assets into the name of the estate.
After collecting the assets, the executor will pay funeral expenses, debts and taxes (if any). The remaining amounts will then be distributed to the person(s) named as beneficiaries by the Will.
Many people mistakenly believe that everything automatically passes to your wife. However, this is only partially true. They may actually get less than you want because of the laws governing estates. So, making a Will is an essential step if you want your estate to be distributed in the way you actually want after your death, and by the executor of your choice.
Some people try to save money by writing their own Will, or downloading a form will from the Internet. Unfortunately, a badly written Will can cause more problems than having no Will at all!