Securing Your Future: Estate Planning Basics
What is Estate Planning?
Estate planning is the process of making decisions about what will happen to your money, property, and personal wishes if you become unable to make your own decisions and if you pass away.
It helps ensure that your loved ones are taken care of, that your directives are followed, and that unnecessary legal delays and expenses are avoided. An estate plan generally includes a last will, a living will, and powers of attorney.
What is a Power of Attorney?
A power of attorney is a legal document that names one or more persons you trust to handle your financial and legal affairs when you are unable to do so. A health care power of attorney names one or more persons you trust to handle your medical decisions.
What is a Living Trust?
A living trust is a tool to make estate planning a more flexible and predictable process. To be valid, a living trust must have property, someone designated to manage that property, and someone designated to benefit from that property. The details of a living trust are written down in a legal instrument called a trust document.
What are the Benefits of a Living Trust?
A living trust helps you avoid probate, which is a court process that ensures your will is valid, your debts and taxes are paid, and your property is given to the people of your choosing after you pass away.
Probate can be a time-consuming, expensive, and public process. Having a living trust can help your family skip probate without these issues.
In addition to avoiding probate, a living trust helps reduce unnecessary taxes that may be assessed on property that you intend to give to your heirs. A living trust also reduces the risk of confusion or disputes about your property between your heirs.
Plan Prudently Now for Peace of Mind Later
While this guide provides basic information about estate planning, it is not and should not be construed as legal advice. You should consult an attorney to determine how best to build your estate plan.
While many companies offer do-it-yourself forms and software for estate planning, these tools may be legally invalid or ambiguous, and they also may not be appropriate for your circumstances.
Angulo Law, A.P.C. provides personal, tailored support to help you plan with purpose, so that you reduce the risk of costly, uncertain, and contentious outcomes for your estate.
