The Importance of Letters of Final Instruction

Even individuals who have the foresight to participate in estate planning tend to overlook an important estate planning tool—a letter of final instruction. This letter in not legally binding, but it provides guidance to an individual’s heirs following the individual’s death. This document may include an individual’s PIN numbers, passwords, location of important documents, and funeral details.  

An individual should still execute a will, living will, durable power of attorney, and health-care proxy, however. Even though this letter in not legal binding, experts claim that it is still an important estate planning tool. Once the letter is created, an individual should consider giving copies to his or her attorney and to those who will handle his or her estate.

SeeCatey Hill, The Missing Link in Your Estate Plan, Smart Money, Jun. 9, 2011.

Special thanks to Jim Hillhouse (WealthCounsel) for bringing this article to my attention.