Estate Planning Tips for Families: Key Considerations
Is your family protected with a good estate plan? Many Americans never actually create one, leaving family members and other loved ones vulnerable when the primary financial contributor passes away. A carefully planned and executed estate plan will help safeguard your family’s financial future and ensure that your final wishes are carried out according to your instructions.
Regardless of where you are in life or what your financial situation is, you can benefit from an estate plan. When you pass away, you don’t want to leave important decisions up to a judge. Without an estate plan in place, your assets may not be directed to who
you would have wanted. A comprehensive estate plan will help your family avoid the stress and burden of figuring out what to do upon your passing. It will also protect their livelihood. The peace of mind offered by an estate plan is simply invaluable.
When preparing for the future, it’s always best to work with an experienced estate planning lawyer. While there are many cookie cutter templates available online, these may not account for your entire situation. At the Law Office of Kyle W. Jones in Bakersfield, we take a personalized approach to ensure that each estate plan meets our client’s needs now and in the future.
Important Documents
Every estate plan is made up of a collection of essential documents. These generally include:
- Will and/or Living Trust:
With a will, you’ll be able to specify how your property will be divided among your family members. You can also designate a guardian for any minor children should both you and your spouse pass away. You might also consider establishing a living trust if you own any significant assets, such as real estate. You can move assets in and out of the trust as needed during your lifetime, and upon your passing, the appointed trustee will distribute any remaining assets in the trust to the beneficiaries. Unlike a will, a trust can avoid the probate process, making asset distribution much more efficient and cost-effective.
- Other Beneficiary Designations:
Some accounts will have their own beneficiary designations, including your retirement accounts, savings accounts, and life insurance policy. It’s important to review and update these designations whenever you make changes to your estate plan.
- Healthcare Directives
Many individuals also include healthcare directives in their estate plan, such as a Living Will. You don’t want to leave a loved one wondering what you would want if you are unable to make decisions for your end-of-life care. This places an undue burden on family members during an already emotional time. Instead, outline the life-extending measures you want healthcare providers to follow if you are not expected to recover.
- Financial and Healthcare Power of Attorney
You can establish both a financial and healthcare power of attorney to ensure the right person can make decisions on your behalf if you become incapacitated. Be sure to select someone you trust, such as a spouse, adult child, or close friend, who you know will act in your and your family’s best interests. It’s also wise to name a backup power of attorney in the event your first choice becomes unavailable.
- Letter of Intent
A letter of intent is a non-binding document where you can provide detailed wishes regarding your assets, personal property, and funeral arrangements. You can also use it to leave a last message to loved ones to say goodbye or to explain the reasoning behind the allocation of your assets.
When to Update Your Estate Plan
An estate plan isn’t something that you create once and just forget about until you need it. Your plan should be revisited at least once every three years to ensure accuracy. For example, you may buy an investment property you need to include in your trust. At the Law office of Kyle W. Jones, we also recommending updating your estate plan with any change-of-life event, including:
- Adoption or birth of a child
- Marriage, divorce, or re-marriage
- Death of a beneficiary
- Relocation to another state
Keeping your estate plan as up to date as possible is the best way to ensure that your assets are distributed according to your final wishes.
Schedule a Legal Consultation
For professional estate planning services, turn to the Law Office of Kyle W. Jones for expert advice from a Bakersfield attorney. Whether you are creating your first estate plan or you need to update an existing one, we will guide you through each step of the process, ensuring that all aspects of your estate are covered.
Provide security for your family with a comprehensive estate plan. Contact the Law Office of Kyle W. Jones today to schedule a consultation with an estate planning attorney in Bakersfield.
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