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Why Estate Planning Involves More Than Writing a Will
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Estate planning applies to adults at many life stages. It clarifies wishes and identifies decision-makers. In a 2024 AARP survey, 51% of adults age 50 and older reported having a legal will (AARP, 2024) [1]. Still, estate planning goes beyond a will.
Lesson Notes:
- A will names an executor and directs certain property, but it does not cover every estate-planning need.
- Financial and healthcare powers of attorney help trusted people act during incapacity.
- Beneficiary designations and account ownership may control how some assets transfer.
- A trust can address specific needs, but not everyone needs one.
- Digital accounts and important financial records should be included in the planning process.
- Review your plan after major life changes and with qualified professionals.
LESSON CONTENTS
Why a will is only one part of an estate plan
Is a will enough for estate planning? The short answer is no. A will matters, but estate planning beyond a will covers situations it cannot.
A will states who should receive estate property and nominates an executor. The Internal Revenue Service (IRS) states that an executor is generally named in a will to administer the estate and distribute property as directed (IRS, 2025) [2]. Because a will generally operates after death, it does not authorize decisions during incapacity.
Some assets pass another way. Retirement accounts follow beneficiary rules while joint accounts transfer by ownership structure. The American Bar Association (ABA) notes that assets controlled by beneficiary designations, joint ownership, or similar arrangements may be non-probate assets (ABA, n.d.) [3]. Your estate planning should cover the whole picture, including probate and non-probate assets.
Essential documents to consider beyond a will
Other estate-planning documents help during incapacity. The mix depends on your needs and state law. So, what documents are included in an estate plan?
First, a durable financial power of attorney authorizes a trusted person to handle financial matters. Consumer Financial Protection Bureau (CFPB) explains, "A power of attorney is a legal document that allows someone else to act on your behalf" (CFPB, 2024) [4]. If it’s explicitly written as durable, a financial power of attorney (POA) can continue during incapacity.
Second, a healthcare power of attorney appoints a trusted person to make healthcare decisions if you are too sick or cannot communicate. For that reason, setting up this POA is a vital step in your advance care planning. Additionally, advance directives, including a living will, can record treatment preferences.
Third, a revocable living trust manages the property you place in it, but it’s not automatically necessary. Your will vs. trust decision should reflect your assets and goals. In this process, your attorney can help determine which four important estate-planning documents fit your situation.
Review beneficiary designations and account ownership
Your legal plan should match instructions attached to financial accounts, a key part of estate planning beyond a will. As the owner of a retirement plan or IRA, you designate beneficiaries under procedures established by the plan (IRS, 2026) [5]. Other beneficiary-based transfers include life insurance, brokerage accounts, and cash and bank accounts.
Because beneficiary designations legally override will instructions, review beneficiaries and ownership after marriage, divorce, births, deaths, or other family changes. Confirm account options with your credit union, insurer or plan administrator, then coordinate with your legal plan. You should periodically update beneficiaries and organize your digital legacy.
Organize financial information and digital assets
A good plan should leave trusted people with a usable information map. Alongside your estate-planning documents, keep an inventory of financial and digital information.
List accounts, debts, insurance, property and professional contacts. Note where you store signed legal documents and who has access instructions. Include email, social media, cloud storage, subscriptions and other digital property.
To protect your information, don’t place live passwords in a will. Utilize a secure method such as a password manager to protect online accounts and leave access instructions.
Estate plan at a glance checklist
|
After-Death Instructions |
Will, executor, guardians, and distribution wishes. |
|
Financial Decision-Making |
Durable financial power of attorney. |
|
Healthcare Wishes |
Healthcare power of attorney and directives. |
|
Accounts and Digital Information |
Beneficiaries, ownership, records, and secure access instructions. |
When to create or update your estate plan
There is no single age or wealth threshold for estate planning. Create clear financial, healthcare, and family instructions, then revisit them as life changes.
If you are wondering when to update an estate plan, review it after marriage or divorce, births or deaths, a major financial or health change, or a move to another state. The National Institute on Aging (NIA) recommends reviewing advance directives at least annually and after major life events (NIA, 2022) [6]. Periodically recheck your executor, trustee, guardian, and power-of-attorney agents too.
Finally, ask an estate-planning attorney to review your legal documents. Wings West can assist you with account reviews, beneficiary information, and broader estate planning support. We also help review your financial plan through each stage of life or explore retirement and investment resources as priorities change.
References
- (2024, June 6). Disparities in Wealth Transfer: Experiences and Expectations of Adults Ages 50-Plus. https://www.aarp.org/pri/topics/work-finances-retirement/financial-security-retirement/wealth-transfer-inheritance-wills/
- Internal Revenue Service. (2025). Publication 559 Survivors, Executors, and Administrators. https://www.irs.gov/pub/irs-dft/p559--dft.pdf
- American Bar Association. (n.d.). Do it yourself estate planning. https://www.americanbar.org/groups/real_property_trust_estate/resources/estate-planning/diy-estate-planning/
- Consumer Financial Protection Bureau. (2024, January 29). What is a power of attorney (POA)?. https://www.consumerfinance.gov/ask-cfpb/what-is-a-power-of-attorney-poa-en-1149/
- Internal Revenue Service. (2026, August 1). Retirement topics – Beneficiary. https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-beneficiary
- National Institute on Aging. (2022). Advance care planning: Advance directives for health care. https://www.nia.nih.gov/health/advance-care-planning/advance-care-planning-advance-directives-health-care
FAQs
No. Other estate planning documents address incapacity, healthcare, and non-will transfers.
Usually a will, powers of attorney, advance directives, and sometimes a trust.
A will directs property after death, while a trust manages property.
Yes. Assets with designated beneficiaries bypass your will and the probate process.
After major life events such as financial asset and health changes, marriage, and divorce, then periodically thereafter.
Yes. Accounts, healthcare wishes, digital assets, and personal property still matter.
*PLEASE NOTE: This article is intended to be used for informational purposes only and should not be considered financial advice. Please consult your own financial advisor, accountant or other financial professional to learn more about what strategies are appropriate for your situation.
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