When thinking about getting a will set up, many wonder how estate planning works and whether a will is enough. Estate planning is planning what happens to your assets when you die. It should also consider what happens to you if you become incapacitated.
Often, a properly executed estate plan includes: a will, a power of attorney, a health care surrogate, and possibly a trust.
Last Will and Testament
A last will and testament outlines your wishes with respect to how your possessions are distributed upon your death. It may also include directions for a guardian for any minor children you have.
Power of Attorney
A power of attorney allows someone to act in your stead and make decisions on your behalf. While a power of attorney can also cover healthcare issues, it typically focuses on financial matters.
Health Care Surrogate
A health care surrogate gives a trusted family member or friend the ability to make decisions about your medical condition if you are unable to do so.
Trusts
Depending on your particular situation, a trust may or may not be recommended. A trust can be a beneficial part of your estate plan, as they can save time and money in the long run. They can also avoid tax implications, depending on the size of your estate.
How To
If you need your estate plan drafted or updated, you should contact a local attorney today. They will work with you and show you how estate planning works. They will also review your situation and make appropriate recommendations to ensure you and your family are protected.