Establishing a Basic Estate Plan
No matter your net worth, it’s essential to have a basic estate plan in place. Such a plan ensures that your family and financial goals are met after you die. An estate plan has several elements: a will, power of attorney, and an advance healthcare directive (medical power of attorney). For most people, trust and life insurance also make sense. When putting together a plan, you must be mindful of both laws governing estates. Take an inventory of your assets. Your assets include your investments, retirement savings, insurance policies, and real estate or business interests. Ask yourself three questions: Whom do you want to inherit your assets? Whom do you want to handle your financial affairs if you’re ever incapacitated? Whom do you want making medical decisions for you if you become unable to make them for yourself?
Create a Will To Support Your Family
Everybody needs a will. A will tells the world exactly where you want your assets distributed when you die. It’s also the best place to name guardians for your children. Dying without a will - also known as dying “intestate” - can be costly to your heirs and leaves you no say over who gets your assets. Even if you have a trust, you still need a will to take care of any holdings outside of that trust when you die. Trusts aren’t just for the wealthy. Trusts are legal mechanisms that let you put conditions on how and when your assets will be distributed upon your death. They also allow you to reduce your estate and gift taxes and to distribute assets to your heirs without the cost, delay, and publicity of probate court, which administers wills. Discussing your estate plans with your heirs may prevent disputes or confusion. Inheritance can be a loaded issue. By being clear about your intentions, you help dispel potential conflicts after you’re gone. Please feel free to
email us or call
770-263-9993, so we can discuss your particular situation.
