Have you thought about planning your estate? Life is more uncertain than ever, so it’s wise to be prepared. Consider consulting a Champaign estate planning attorney to get guidance on planning an estate.
No one likes to think about the worst happening to themselves or the people they love, but estate planning is a profound act of love. You’ll be ensuring that your loved ones are taken care of. Moreover, you’ll have the peace of mind of knowing that your assets will be left as you wish.
One positive thing to arise from the pandemic is that more people are preparing for the future. This means have certain documents drafted. By working with a Champaign estate planning attorney, you can be assured that your documents are properly executed and legally enforceable.
A thorough estate plan consists of several documents such as a will or trust, durable power of attorney, healthcare power of attorney, and beneficiary designations.
A will or trust is a foundational document. Unfortunately, too many people believe that wills and trusts are only for the wealthy. Actually, wills are simply instruments through which you can ensure that your assets are distributed according to your wishes, even if you don’t think those assets are significant. A trust is another useful tool that may help avoid legal challenges and minimize taxes on the estate.
When you have a durable power of attorney, you appoint a person who acts on your behalf if you are ever unable to do so. Without such a document, the court may decide what to do with your assets, and it’s unlikely that the court will distribute those assets as you would have wished. The power of attorney lets you appoint someone you trust to handle financial and real estate transactions on your behalf.
With a healthcare power of attorney, you choose a spouse or another family member to act on your behalf if you’re incapacitated. Weigh this choice carefully to ensure that you select someone who understands what treatment you want to receive.
Some of your accounts, such as a 401(k) or life insurance, give you an opportunity to designate a beneficiary. When estate planning, it’s wise to ensure that your beneficiary selection is up to date. You also may want to designate a contingent beneficiary to cover all possibilities.
If you would like to know more about the documents you need to plan for any eventuality, then speak with a Champaign estate planning attorney at (217) 531-2179.
Comments 1
I found it interesting when you explained how estate planning helps us protect our assets. The other day, I visited my parents and talked about how they don’t even have a will! In my opinion, my parents should start arranging their estate planning documents, so I’ll suggest it next time I see them. I appreciate you helping me understand how estate planning uses wills and trusts to safeguard our estate.