Wills and Trusts A will or trust must be one of the main components of any estate plan, even if you have no substantial assets. Wills guarantee that property is distributed according to the person's wishes (if drafted in accordance with state laws). Some of the most common documents include a last will and will, power of attorney, living will, and power of attorney for health care. Some people also need one or more trusts.
Insurance policies could also have a place in your estate plan. The specific documents required depend on your circumstances. In addition to living trusts, irrevocable trusts are available to protect certain assets that you may want to irrevocably set aside for your chosen heirs. These assets are protected from their creditors and beneficiaries' creditors, and can be used in a lawful and legitimate manner to minimize property taxes.
Of course, you should be aware of the irrevocable nature of these trusts. COODIN %26 OVERSON, PLLP helps clients who want to formulate and document their estate plans. Call us today at 651-209-1155 to schedule a free initial consultation. When it comes to estate planning, having a last will and will is probably the first thing that comes to mind.
Most people think this is just a will. It may sound a little macabre to think about your death, but if you approach it as a financial plan and nothing else, it can help make the whole process feel a little less uncomfortable. Texas 3100 North A Street, Bldg. B Suite 125 Midland, TX 79705.Estate planning is the process of designating who will receive your assets in the event of death or disability.
Often done with the guidance of an attorney, one goal is to ensure that heirs and beneficiaries receive assets in a way that manages and minimizes estate taxes, gift taxes and other tax impacts. We recommend reviewing your documents once a year and conducting a thorough review of all assets, insurance, beneficiaries and estate planning with your financial advisor on a regular basis. A good plan should be designed to avoid probate probate, save on estate taxes, protect assets if you need to move to a nursing home, and designate someone to act on your behalf if you become disabled. Your will can contain many different components, so to make sure you cover everything you need, you should work with a probate lawyer.
This is an important component of your estate plan because if you don't have it in place when it happens, the state will determine how all of your property will be distributed. Unfortunately, this is one of the main patrimonial documents that many people completely ignore or neglect. An estate plan can also ensure that someone can make financial decisions for you if you can't manage your finances because you're injured or sick. While others may leave it in the hands of the retirement plan holder's estate, this could have negative tax consequences.
If you assign a health care proxy in your estate plan, make sure they are aware of your responsibility. If your estate is small and your wishes are simple, an online or bundled will writing program may be sufficient for your needs. These five main components are not suitable for all people, they really depend on your wealth and what you want to happen to you when it happens. It's always best to add a power of attorney to your estate plan so that you name who you want to take care of your affairs.
A trust can also be useful to prevent probate and to manage your estate both during your life and after your death. If you have doubts about the process, it might be worthwhile to consult a probate lawyer and possibly a tax advisor. There are many benefits to using trusts, but depending on your assets and what your goals are, it may or may not be in your best interest to include them in your estate plan. .