Do All Assets Need to Be Listed in a Will?

A will does not need to read like a monthly financial statement to be useful. Naming every account number would create its own maintenance problem as accounts are opened, closed, or moved.

The legal instructions and the practical asset inventory serve different purposes. Keeping those purposes separate can make both documents easier to use.

A will can use broad provisions

The document may identify particular gifts and address remaining property through a residuary clause. The drafting needs to fit the person’s wishes and the property within the will’s reach. A new asset does not automatically require inserting its account number into a signed document.

On the other hand, a broad clause should not be assumed to accomplish a specific personal gift. If the goal is to give a particular collection to a particular person, discuss how to express that instruction properly.

For certain tangible belongings, Iowa Code section 633.276 provides for a qualifying separate writing referred to by the will. That is a specific legal arrangement with conditions, not a rule that any private inventory changes beneficiaries.

An inventory helps the executor find things

List the institution, property type, record location, and any issue needing follow-up. Mark closed accounts as closed rather than letting old statements remain indistinguishable from current information. Include debts and important contacts so the list explains obligations as well as assets.

Imagine a person changes banks but keeps the same general distribution wishes. Updating the inventory may help the future executor locate the money. Whether any legal document or beneficiary designation also needs changing is a separate question to review.

Do not write intended legal changes on an asset list and assume that the will has been amended. Tell the attorney which result you want, particularly if ownership or the recipient is changing.

Likewise, do not put sensitive access information into a document simply because it is called an inventory. Use an appropriate secure arrangement and make sure the authorized person knows how to locate the records.

The useful test is whether the will gives effective distribution instructions and the inventory provides an accurate map of what exists. One document tells the executor how property should be handled; the other helps keep property from being missed while those instructions are carried out.

Tyler ThompsonAuthor