How to Prepare for Death: 8 Essential Steps to Protect Your Family

This guide does not constitute legal or medical advice. For personalised guidance, consult a qualified attorney or healthcare professional in your jurisdiction.

"Nobody wants to think about dying. But not preparing creates a nightmare for the people you love most. Frozen bank accounts. Court battles. Family fights. Thousands in unnecessary fees. Guilt that lasts forever."

Why You Need to Prepare for Death

Most people avoid planning for death because it feels uncomfortable or unnecessary - especially when they’re young or healthy.

But when death or serious illness happens without preparation, families are often left dealing with:

• Bank accounts frozen for months

• Courts deciding who can make medical or financial decisions

• Conflict between relatives with different interpretations of your wishes

• Thousands in avoidable legal and administrative costs

• Lingering guilt from not knowing what you would have wanted

In many cases, the emotional toll lasts far longer than the legal process.

When to Start Preparing

The best time to prepare is when you’re healthy and clear-headed — not in a hospital bed making rushed decisions.

Start now if:

• You’re over 18

• You have any assets or debts

• You have children or dependents

• You own property or a business

• You’ve been diagnosed with a serious illness

• Your parents are aging and haven’t planned

• You just got married or divorced

Start urgently if:

• You have a terminal diagnosis

• You’re caring for aging parents

• You work in a high-risk profession

• You’ve recently lost someone and witnessed the chaos

Life Events That Trigger Planning:

• Marriage – Update beneficiaries, create joint documents

• Divorce – Remove ex-spouse from all legal documents

• Birth of children – Name guardians, create trusts

• Death of spouse/partner – Update all documents

• Significant asset acquisition – Property, inheritance, business sale

• Retirement – Organize accounts, plan healthcare

• Terminal diagnosis – Immediate comprehensive planning

• Moving internationally – Understand jurisdiction issues

8 Essential Steps to Prepare for Death

Step 1: Create or Update Your Will

A will is the foundation of any end-of-life plan. It determines who inherits your assets, who cares for your children, and who is legally responsible for carrying out your wishes.

Without a valid will, most countries apply intestacy laws, meaning the government decides how your estate is distributed - often in ways that don’t reflect your relationships, values, or intentions.

What to Do:

• List all assets (property, accounts, valuables)

• Decide who inherits what

• Name guardians for minor children

• Choose an executor

• Have it legally documented

Step 2: Assign Power of Attorney

A power of attorney allows someone you trust to manage your financial affairs if you’re unable.

Key tasks:

• Choose someone you trust completely

• Decide when power begins

• Sign proper legal documentation

• Share copies with banks and institutions

Without this, families must seek court approval for every financial decision which can be a slow and costly process.

Step 3: Create Healthcare Directives

Healthcare directives guide medical decisions if you cannot speak for yourself.

Includes:

• Living Will

• Healthcare Power of Attorney

• DNR (Do Not Resuscitate), if applicable

Essential Actions:

• Clearly state treatment preferences

• Name a healthcare decision-maker

• Share copies with doctors and hospitals

The consequence is that without these, families must guess - often leading to guilt, conflict or unwanted suffering.

Learn more about choosing grief counseling support when facing terminal illness.

Step 4: Organize Financial Information for End-of-Life Planning

Document all accounts, debts and insurance policies to prevent confusion.

What to document:

• All bank and investment accounts

• Insurance policies

• Debts and monthly bills

• Digital access via a password manager

• Store securely and tell your executor where it is

It matters because billions in assets go unclaimed because families never knew they existed.

Step 5: Plan Digital Assets to Protect Your Family

Digital lives matter. Plan for email, social media, subscriptions and online banking.

How to plan:

• List all online accounts

• Decide what gets closed, memorialised or transferred

• Provide password access securely

• Assign someone to manage digital content

The modern reality is that most people have 100+ online accounts. Without planning, they linger or get exploited.

Step 6: Communicate Your End-of-Life Wishes

Family conversations prevent misunderstandings and guilt.

Topics to cover:

• Burial vs cremation

• Type of service

• Music, readings, or rituals

• Organ donation

• What matters most to you

The hard truth is, this is the step most people skip and it causes lifelong guilt for survivors.

See our guide on cremation preferences across religions

Step 7: Review Beneficiary Designations

Ensure all accounts, insurance and retirement plans have up-to-date beneficiaries. Life changes - marriage, divorce, birth, death - require updates.

Next Items

• Review life insurance beneficiaries

• Check retirement accounts

• Update after marriage, divorce, births, or deaths

Step 8: Store End-of-Life Documents Safely

Documents are only useful if they can be found.

Storage Essentials:

• Store originals securely

• Share copies with executor and attorney

• Tell trusted people where documents are

• Write a simple “If I Die” letter

• Review annually

Common Mistakes to Avoid

• Waiting until you’re sick

• Hiding documents

• Choosing an unorganised executor

• Failing to update after life changes

• Assuming everything goes to your spouse automatically

• Using DIY documents incorrectly

• Avoiding family conversations

Skipping discussions about death can also affect your work later, especially when bereavement occurs. For guidance on handling this at work, see our article: Bereavement Leave for Remote Workers: Rights, Laws & How to Request

Do I need a lawyer?

For simple situations: Online legal services may work.

You need an attorney if you:

• Own property in multiple states

• Have a business

• Have substantial assets ($500k+)

• Have a blended family

• Want to minimise estate taxes

• Have complex family dynamics

What if I can't afford a lawyer?

Start with what you can do free:

• Organize your financial information

• Write down your wishes (even informally)

• Have conversations with family

• Check if your employer offers legal benefit plans

• Look for low-cost legal aid in your area

Something is always better than nothing.

The Bottom Line: Start Today

You don’t need to do everything at once, but do something today.

Short-term: List assets, choose an executor, have one conversation with family
Mid-term: Create or update will, set up healthcare directives, organize financial info
Long-term: Review beneficiaries, meet with attorney if needed, have a full family discussion

Your final act of love is giving your family clarity and peace during grief.