Estate planning is the process of designating how your wealth and other assets should be transferred to heirs or beneficiaries in the event of your death or incapacitation. It’s all about making sure your loved ones receive your protected assets when you pass.
Parts Of An Estate Plan
A will is a legal document that clarifies what should happen to your estate once you pass away. It includes details about beneficiaries, how personal belongings should be distributed, and how any assets will be handled.
A trust is a fiduciary relationship where you give a third party, the trustee, the authority to hold and manage your assets on behalf of the trust’s beneficiaries. Trusts are versatile and can be used in many ways. They can reduce estate taxes or help you control your finances, for example.
Power of Attorney
A power of attorney is the legal authority for one person to act for another in financial, medical, or other matters.
A medical directive, also known as an advance directive, is a written statement of a person’s wishes regarding medical treatment.
A beneficiary is any person or organization that receives money or benefits from a benefactor. In estate planning, it’s commonly used to refer to a person who will receive assets, property, or other benefits in the event of the benefactor’s death.
Who Can Help With Estate Planning?
Elder law attorneys are lawyers who specialize in issues that affect seniors. Such a professional can help you with anything from retirement planning to long-term care prep and placement. An elder law attorney can even assist with the navigation of Medicare and Medicaid coverage. And – yes! – they do estate planning too!