An Intro Guide on Estate Planning
Updated on 3/29/22
Estate planning is one of those topics that most people would rather avoid. Recent statistics indicate that only 60% of adults over the age of 53 have written their will. Perhaps you’re saying that you’re not 53 yet. The first reason why people shun estate planning is that they think they’re too young.
Perhaps you think you do not have enough to plan for. The truth is; no amount is too small. If you own it, then you need to think about how it’ll be managed in case of your demise. It’s never too early to book an appointment with an estate planning attorney. For companies, we have corporate estate planning which stipulates how company assets will be distributed if the founder(s) is dead or incapacitated.
In this article, we seek to educate you not only on the process but also about the importance of estate planning. Hiring an estate law lawyer is not as complex as you think. Take a first step by filling out an estate planning inventory form which lists your main assets. You can also access an online trust maker which gives you an outline of the planning process.
Are you now convinced that you’re the right candidate for estate planning? Good. Below we expound some more on what it is and what it means for you and your family.
Estate planning is the process of preparing for the management of an individual’s asset base in the event of death or incapacitation. Individuals make bequests to heirs and pay estate taxes. You may do estate planning on your own or with the assistance of an estate planning attorney. An estate planning attorney is knowledgeable about the state and federal legislation governing estate planning. Legal specialists with experience have the best estate planning tools and can educate you about the probate procedure. An elder law attorney has vast expertise assisting a variety of clients with estate planning.
The association of estate planning attorneys provides guidance on how to draft a final will and testament. The best place to do a will is in the presence of a competent lawyer who will assist you in constructing the document. Additionally, the lawyer may provide guidance on critical aspects to consider while preparing the will.
You’re undoubtedly wondering; can a financial planner prepare a will? A financial planner assists you in accumulating money and planning for its disposition and management. Your financial advisor may be able to assist you in drafting a will.
Estate planning is a difficult topic. The truth is that everyone needs to have a plan in place that will determine what happens to their assets in the event of their death. Contrary to popular opinion, estate planning is not a topic that only concerns only the wealthy. If you have a house, bank account, 401k, or other assets, it will be in your best interest to create a will. Working with an estate attorney now is a way to ensure that your loved ones will be cared for.
An estate attorney can help you navigate what often feels like an overwhelming process. They can offer you excellent advice on wills and trusts in addition to 401k estate planning. By creating a will with an association of estate planning attorneys, you can feel confident that your money, possessions, and all of your assets will be distributed according to your wishes. You will also feel peace in knowing that your loved ones will not have to stress trying to figure it all out on their own.
Please continue reading to understand better what it means to create a will and how to find the best estate planning tools to ensure that your estate will be well taken care of when you’re no longer here.
When it comes to distributing your property, you may opt to divide the assets into heirs in two varying ways: one of the ways is by dividing your assets through the aid of an estate planning law firm. The second option includes distributing according to the inheritance laws in your state.
The association of estate planning attorneys helps you with drawing up a good plan. On the other hand, the law of inheritance was established by the legislature for people who may lack the opportunity to make a will while still alive.
The best way to go about distributing your property is by seeking legal advice on wills and trusts. Attorney at law wills offices will develop a suitable plan for you to manage and divide your property with minimal probate charges and lower taxes. The attorney for wills and power of attorney is the best property distribution option to rely on to settle and execute your final wishes.
The specialists help you plan for the costly and unexpected costs that arise upon your disappearance. With this, the expenses can be paid fast to avoid delaying asset distribution to the rightful heirs. The passing of an estate to the appropriate heirs can be complex, hence the need to seek an expert in estate planning.
There is a stigma that estate planning is only applicable to wealthy individuals with million of dollars in assets. However, if you have children, elderly parents, savings, or a home, estate planning is necessary in order to ensure the protection of your assets in case the worst happens. Unfortunately, 64% of the American population does not have a will including over half of Americans aged 55 to 64 not having a will. Developing a living will is the only way to provide for your family in case something happens to you, and there are multiple legal services willing to help with will lawyers and estate planning lawyers.
Here is all you need to know about estate planning.
The first thing to do is to establish your family situation and assets. If you have a spouse, and if you have children are two of the most important questions. Then, you must look at your levels of assets in order to minimize the estate taxes you’ll pay federally and through your state. If you do not set up the correct beneficiaries, the state will posses your assets.
If you pass away without establish a life plan, your estate will go into the probate process. This is when the court publicly supervises your proceedings which can be extremely time consuming and expensive.
Simply put, your estate includes everything you own, anywhere in the world. This includes; your home or any real estate that you own, your business interests, a share of your joint accounts, the full value of your retirement accounts, your life insurance policies and any property owned by a trust over which you have significant control.
Because your will should include multiple documents, it is important to consult specialized legal services in order to make sure everything is filed properly.
Revocable trust, the legal document that provides for the management and distribution of assets after your death.
Financial Power of Attorney, which allows someone else to carry on your financial affairs in the case you become disabled. It is important to settle this issue while you are healthy, as there have been many cases of exploitation of powers of attorneys amounting to $2.6 billion in 2009.
Beneficiary Designations, which are filed directly with your plan administrators, including IRAs and 401ks.
Consult a real estate planning attorney today to get this process started!