Estate planning is one of the most important plans you’ll make while alive. Creating this plan will not only ensure that you are well catered to upon your incapacitation, it will also ensure that after your passing, your assets are distributed based on your wishes.
If you are thinking of drafting an estate plan, understating what estate planning is will help in the process. In this article, we’ll be highlighting all you need to know before you proceed to plan your estate.
Let’s start with what estate planning is.
What is estate planning?
Estate planning is the arrangement an individual makes during their lifetime. This arrangement is usually designed to facilitate the distribution and/ or disposal of their properties during the individual lifetime and/ or after their passing.
Assets that can make up a person’s estate are:
- Real properties like buildings lands
- Intellectual properties
- Cars
- Insurance
- Shares/ stocks
- Bank accounts and other personal properties
What happens if you don’t plan your estate?
An estate plan usually consist of a will, a document that outlines the wishes of an estate owner regarding the distribution of his assets. If you fail to plan your estate, no one will know what your wishes regarding your assets are. In that case, the state will step in.
The state will ensure that your assets are distributed based on the intestate law of the state. This means that, individual with whom you aren’t in good terms with may end up inheriting a portion of your estate. I bet you wouldn’t like that, so ensure you plan your estate before it is too late.
Estate planning is for everyone
There is a common misconception that estate planning is designed for specific groups of people like the wealthy, retirees, etc. However, the truth remains that estate planning is for everyone, both the rich and the poor. Once you become an adult, you are eligible to plan your estate.
Don’t make the mistake of waiting till those white hairs start appearing before you make an effort to plan your estate. Remember, you can’t predict what would happen tomorrow. So ensure you plan your estate before it is too late.
Planning your estate doesn’t have to be an expensive process
Worthy to note is that trying to plan your estate to save money now can cost your family more in the future and may have serious consequences that you did not intend. A competent estate planning attorney can provide you with valuable guidance and peace of mind that your documents are prepared to meet your objectives.
When is the right time to plan your estate?
Now is the right time to plan your estate. Don’t let anyone make you think that making an estate plan in your thirties is a waste of time. The earlier you plan your estate the better for you and those you care about.
Important estate planning documents
When creating an estate plan, you will need to set up some important estate planning documents designed for various purposes. Below is a list of these important documents:
- Will and testament
- Power of attorney
- Living trust
- Health care power of attorney
- Letter of intent
- Beneficiary designation
Having these documents is key to creating a good estate plan. An estate planning attorney can help in creating the above-mentioned documents.
Need an estate planning attorney?
Due to the complexities that surrounds the estate planning process, you may need the services of an estate planning attorney. With the help of an estate planning attorney, you should be able to not only plan your estate but update the plan later in the future.
An estate planning attorney can also offer you and your family valuable advice that could end up being a lifesaver. In addition, he can help in setting up various important legal estate planning documents like a power of attorney, healthcare directives, a living trust, etc.
If you want to plan your estate, and you need the services of an experienced estate planning attorney, please, don’t hesitate to contact us. Also, if you need help with updating your estate plan, you can contact our office as well. We boast of competent estate planning attorney who can help in creating an estate plan that suits your needs.
