We all know that planning for the future of your estate is important. Carefully plotting our goals helps us to achieve our objectives. Estate plans are one essential part of constructing a stable and secure future for yourself and your family. Creating an estate plan means that you execute a series of documents that set out your plans for your asset distribution in the event of your death or incapacitation. Estate plans can also include documents that detail how you want your own health care handled, such as the case with a Living Will or an Advance Directive. It is important that you make an estate plan to ensure that your wishes are properly carried out.
Some people believe that their estate is too small for an estate plan. This is not true. Estate planning is not just to assist wealthy individuals avoid estate taxes. An estate plan almost always contains a Last Will and Testament, which will detail how you want your assets distributed after your death. Without a valid Will, your assets will be allocated according to California laws of intestacy. This could result in estranged relatives receiving your assets while your loved ones and close friends receive none of the financial security you hoped to provide.
Estate planning is also essential if you have minor children. It is important for you and the other parent to discuss who should be named the guardian of your children in the event both of you pass away. Moreover, especially if you are not in a relationship or marriage with the other parent, you may wish to discuss trust options with your estate planning attorney to make sure that the assets you leave to your child are properly used for the benefit of your child’s necessities and education.
For those who do have substantial assets, an estate plan is also important. Estate planning has a wide variety of tools to allow some assets to pass outside of the probate process. In some cases that means that the assets are not counted as part of your estate at the time of your death. Passing outside of probate makes the process smoother and can help minimize the estate tax liability for your beneficiaries
We can help you create a thoughtful and tailor-made estate plan. Call us today for a consultation.
