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Estate Planning Overview
Home » Retirement » Estate Planning » Estate Planning OverviewEffective estate planning ensures your assets will be handled in the way in which you choose. This process secures your hard-earned assets and helps secure your family’s future. After years of building your estate, your goal should be to make sure the estate passes to the intended beneficiaries. Arranging for the distribution of one’s wealth is very wise in this complicated legal society in which we live. Most of us haven’t even made a simple will and it goes without saying we sure haven’t developed a more comprehensive plan. Comprehensive planning should also include paying the least amount taxes and avoiding probate court. There are several steps to take when developing your estate plan including making a will, health care directives, designating a power of attorney and beneficiaries. If you are a parent, it is important to choose a guardian for your children in case of you are unable to raise them. Many people get by with only a will but to eliminate probate more planning is necessary. If you want peace of mind, then estate planning is a must. States have laws that govern the distribution of property when a person dies without a will/trust. Dying without planning and completing the necessary forms, gives your state the power to do the planning for you. It is obvious that you will have an estate plan whether you make it or not. Most people want the power to decide where their property and money go and not leave it up to the state. Procrastinating completing these important documents opens your family up to feuding and the loss of your estate. In most states if you own property over $30,000, you subject your family to probate if there is no will. Probate involves the courts and can be a long drawn out process. During probate the authenticity of the person’s will is proved and someone is appointed to handle your affairs. Probate is also complicated because the person’s property has to be inventoried, debts and taxes must be paid and distribution of property is decided.
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