Importance of Having a Detailed Estate Plan
By Meghan Belnap
Regardless of age or finances, estate planning is crucial for everyone. Failing to settle your affairs could have devastating effects on your family and other loved ones. When you plan things out well, every asset or goal you worked hard to achieve will go where you want it, with less stress for those left behind. Below are some of the top reasons why you should develop a detailed estate plan and the benefits.
Certain people in a family are more responsible than others. These individuals might earn more money and have significant savings and additional assets. If you are this person and you pass away or become incompetent and unable to make decisions about finances, your beneficiaries will step up. However, if a detailed estate plan does not exist, you will not have any control over what happens once you pass away. Proving what your wishes were regarding your property and finances will be challenging for your beneficiaries, which is why a detailed estate plan is necessary for the court of law.
If you become ill and cannot voice what procedures you want or what steps you approve of a doctor taking, others will make those decisions for you as far as factors like life support or new treatments. Sometimes what you wish is not what family and trusted friends want, but having a detailed estate plan in place could ensure the medical treatments you choose or do not want will be honored if you become incapacitated.
Keep in mind that this process is not the same as a will, and you want to make sure every step is done correctly because the entire plan could be ruled invalid. Therefore, it would be best to hire an estate planning lawyer when creating the document. They can explain the process thoroughly and work hard to ensure every detail of the plan is precisely what you want. The attorney will also file necessary documents, ensuring no mistakes prevent your wishes from being the priority.
Transferring assets could create fewer tax expenses and prevent your family, particularly children, from bearing the burden of struggling to pay large bills on assets they inherit. In some instances, the tax concern could outweigh the assets, which is why you should be as thorough as possible when developing your estate plan. This includes finding ways to decrease the income your beneficiaries will need to pay and more.
Protecting your assets and ensuring they go with whom you choose is possible with an estate plan. The more detailed it is, the less likely courts can decide how to divide it all or how other aspects work out.
Meghan Belnap is a freelance writer who enjoys spending time with her family. She loves being outdoors and exploring new opportunities whenever they arise. Meghan finds happiness in researching new topics that help to expand her horizons. You can often find her buried in a good book or out looking for an adventure. You can connect with her on Facebook right here and Twitter right here.