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Importance of Estate Planning- Why EVERYONE needs one.

Posted by Hundallegalgroup@gmail.com on July 30, 2015 at 6:05 PM

THE TOPIC OF DEATH :/

 

Generally, most people do not feel comfortable discussing the topic of death or incapacity. This is why the idea of estate planning is usually ignored by many. However, these are certainties of life and a person should not ignore making decisions for these events. The most important way to control and plan what happens to you, your loved ones, and your assets is through an estate plan. 

 

WHAT IS AN ESTATE PLAN?


An estate plan is a set of legal documents that helps you plan for problems arising upon death. It is not only used by wealthy people. An estate plan is equally as important for someone who does not have many assets. In the absence of an estate plan, you will have no control over anything. Instead, the court will make all decisions for you and your assets will be used to pay the costs of probate. Probate is the legal process that takes place after a person dies if they do not have a trust. Therefore, a properly-prepared estate plan will let each person decide for himself or herself the best choices for their own families. 


WHY IS AN ESTATE PLAN IMPORTANT? WHAT ARE SOME DOCUMENTS THAT GO INTO AN ESTATE PLAN?


An estate plan may be comprised of any documents that will help you plan for the future. Here are a few:


A Trust is a document that has one party hold property for the benefit of another . There are many types of trusts. You just have to meet with a lawyer and the lawyer can help you decide which type of trust is best for your needs. You can even make a trust giving property to a charity. If you have elderly parents, disabled children, or want to provide for the education of a child or relative, you can establish a special trust to fulfill those needs.


A Power of Attorney gives the person of your choice the legal right to manage your financial, health, and legal affairs in the event that you are unable to make such decisions because you become disabled or incapacitated because of age or health. Many people make a Power of Attorney for their children if they are unable to take care of them because they are out of the country or the parents cannot take care of the child. This is usually revocable.


A DNR (Do not resuscitate) form will help you when you are unable to tell your family or loved ones your decision about your death. More specifically, you will be able to control if they should take you off of life support or keep you on and for how long.


Also, you can plan how you would like your funeral arrangements to be. For example, the costs, whether you want an open casket, whether you want it to be private or public, the schedule of the function, or whether you want a funeral at all. You can decide whether you want a burial or cremation. It is understandable that you believe your family would fulfill your wishes, but by making an estate plan, you can control what will be done and the law will enforce it.


Furtthermore, every dollar your estate has to pay in estate or inheritance taxes is a dollar that your beneficiaries will not receive . A good estate plan can give the maximum allowed by law to your beneficiaries and the minimum to the government by reducing your taxes.


Basically, you can control everything and anything that happens during your lifetime and after your lifetime. A family member can always promise to fulfill your wishes, but your entire goal will be based on trust. Instead, you can have your documents concretely enforce your wishes through the law.


IF YOUR INTERESTED IN MAKING AN ESTATE PLAN OR HAVING ANY OF THESE DOCUMENTS DRAFTING, CALL OR CONTACT US TODAY!!

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