What exactly is estate planning? Here’s a quick overview!
Life is unpredictable, but you would want your estate to pass to the right people, no matter the circumstances. Anything that you own, including debts, is a part of your estate. Simply put, estate planning is about mentioning your wishes related to your estate, after you are gone, or if you are incapacitated, disabled, or just sick to make decisions. Evidently, this is a significant decision, and you should consider hiring an attorney to know your options. You can click here to find more estate planning lawyers. There are also limits to what you can do with estate planning, but it does cover all your assets, including personal belongings, jewelry, savings, and investments. Here’s more on things that matter.
Meeting an attorney
Like we mentioned, hiring an estate planning attorney is in your best interests. There are state laws and other compliance requirements, and you should be aware of your options, including the pros and cons of each decision. Attorneys are capable of explaining the best options, and they can ensure that your wishes are honored. Most attorneys offer a free initial consultation and work at an hourly rate. Meet an attorney in-person to know more.
Types of documents in estate planning
There are various types of documents that can be a part of your plan. The first one is called guardianship, which determines who you want to care for your children, or those dependent on you. The will, often considered the most critical component of estate planning, expresses your interests concerning the distribution of your assets. You may also need a fiduciary agreement, which determines that the Trustor will allow the Trustee to get your assets for the benefit of the dependent or beneficiary. Another useful document is Power of Attorney (POA), which allows a person of your choice to handle your financial affairs. You may also come across a Durable Power of Attorney option, which allows the person to decide on financial matters if you are incapacitated.
Many people also opt for a Living Will, which gives directions on the medical action you wish to get if you are incapacitated or in a condition where you cannot make decisions. In some states, this is also called the Medical Power of Attorney.
Estate planning is not for you, but your family and people dependent on your financial support. Call an attorney to know more about specific pros and cons related to your financial decisions.