Business Glossary

document, also called a testament, that, when signed and witnessed, gives legal effect to the wishes of a person, called a testator, with respect to disposal of property upon death.

formal document distributing the assets of an estate after the death of the person signing it-the testator . A will is usually written, signed by the testator in the presence of two or more witnesses. Most states also allow handwritten or holographic wills if signed in the presence of the testator by two or more witnesses. Preparing a will has several advantages over leaving an estate intestate : the testator can designate how the estate will be distributed and can establish a testamentary trust for the benefit of children. A will also allows property or real estate owned by the testator to be sold more easily.

usually a written document stipulating the disposition of one's assets at death. If this document does not exist at death, the assets are distributed according to state law. This document should include the following central points: (1) name of individual who is to be responsible for carrying out the wishes of the deceased; (2) name of guardian for any minor children; (3) two notarized signatures of two witnesses; (4) requirements for the disposition of property; and (5) establishment of state of residence. This is of particular importance if there is ownership of property in different states.

the disposition of one's property, to take effect after one's death. Same as testament .

Example: If one does not prepare a will, state law will govern the disposition of one's property after death.

legal document that serves as a key vehicle of transfer at death. Within the document are specific instructions as to the disposition of the estate and the designated executor (executrix) . If one does not prepare a will, state law will govern the disposition of one's property after death.