Even if estate planning is a very predominant term, not everyone is aware of its importance. Estate planning are plans made to distribute and manage the assets of a deceased after death or incapacitation. If you made an estate plan prior to your incapacitation, you will be catered for based on what is stated in your estate plan. Decisions regarding your finances will also be made based on your estate plan. But if you fail to, someone else will make those crucial decisions for you.
Several people are yet to grasp the real scope of estate planning. Some think that estate planning is all about writing a will, while other believe that estate planning is only for the rich. Well, there is more to estate planning than you know. Estate planning is quite broad and isn’t just limited to the drafting of a will.
When you plan your estate you are directly planning for the future of your children, surviving spouse and those you love. Failure to plan your estate while alive may be terrible for your family. Estate planning also offers you the opportunity to express your wish towards the distribution and the management of all that you own (your assets).
Some people die without an estate plan, leaving their loved ones and family to suffer for their ignorance. If you fail to plan our estate and you die, your estate will be managed and distributed based on the intestate law of your state. This process is usually time-consuming, it can also be expensive and stressful. So, do not wait till when you see those grey hair appearing on your head before you proceed to plan your estate. You can plan your estate while still very young and update the plan subsequently. Contact out estate planning attorneys to know more about the importance of estate planning.
Why Should you Plan your Estate?
There are several reasons why you should plan your estate. When you die without an estate plan, your family and loved ones will battle over your estate in court. This could result in several damaged relationship, strife, hatred, and lawsuits. I’m quite sure this isn’t something you will like to happen.
An estate plan makes your intention regarding your estate plain, quelling any need for misunderstanding or hatred. Also, planning an estate, especially one that avoid the probate process, will make things less stressful for your family and loved ones. You may not be aware, but the probate process can cost your family so much in estate taxes, court fees, etc. One thing you should also know about this process is that, it can last for a few months or years depending on the circumstances surrounding your estate.
A will is that legal document that displays your wishes towards your assets. A will contains your assets, the name of the beneficiaries, how you want your assets to be distributed to the designated beneficiaries, your burial plan, etc. In the will is also the name of your estate executor. An estate executor is an individual chosen by you to act on your behalf after your death. This individual must be someone you trust, and one that is in good terms with your family members so as to prevent any potential uprising.
An estate executor must get the approval of the probate court before resuming his or her duties. This individual has several tasks to execute and will work with the probate court to ensure that the probate process goes smoothly.
What is a Trust?
Creating a trust is simply one of the best ways to escape probate. A trust is simply a legal media created by an estate owner and used to transfer assets to a trustee who then keeps them in a trust fund for a third party who is regarded as a beneficiary.
People create a trust for several reasons. One of the main reason is to escape probate. If you really love your family and loved ones, creating a trust is the perfect way to reduce their grief-at least a little- after your demise.
We boast of the best Attorneys for wills and trust. Contact us if you need help creating a trust or drafting a will.