Helping You Plan for the Future of Your Estate
As you age, you are likely thinking more and more about your future. Creating an estate plan is an essential part of protecting not only your assets but your health, too. With the right estate plan in place, you can maximize the assets that are passed down to your loved ones and preserve your estate while paying for your medical costs and care.
At Patricia Scott Law, we understand that thinking about your estate plan can be daunting. Creating a comprehensive estate plan can help give you the peace of mind you need to enjoy yourself. Whether you have a massive and complex estate or a small and simple one, estate plans are for everyone. No matter what your estate planning needs are, we are here to assist you.
If you’re interested in protecting your hard-earned assets, please call our law firm today at 510-984-2390 to learn more about our services.
What Are the Most Common Estate Planning Tools?
As you begin building your estate plan, you’ll find that there are many documents available to you. Some of these tools may be more relevant to your situation than others. Our team can make recommendations on which estate planning tools to use for your circumstances.
The most commonly used estate plan tools include:
Last Will and Testament
A will is a very common estate planning document and one that most people have already. In a will, you can include instructions for how your assets are distributed as well as name your beneficiaries. You can also leave funeral instructions, assign guardianship over minor children, and name an executor of your estate.
Power of Attorney
A power of attorney document gives a trusted loved one the power to make financial or medical decisions for you. Essentially, their signature is as good as your signature. There are multiple kinds of powers of attorney to choose from.
Trust
A trust can help protect your assets from taxes and probate. There are many different kinds of trusts you can choose from, some of which allow you to maintain control over your assets.
Advance Healthcare Directive
If you’re concerned about having your medical wishes respected, an advance healthcare directive may be for you. This document allows you to write detailed instructions about medical treatments you consent to and do not consent to.
What Are the Main Benefits of Having an Estate Plan?
Everyone should have an estate plan, not just the mega-rich. Having an estate plan allows you to dictate what happens to your assets when you pass away. Plus, with the right estate planning documents, you can qualify for necessary medical care without losing your hard-earned money.
The benefits of an estate plan include:
Reducing Family Turmoil
When a loved one passes away, the family turns to the estate plan to determine how their assets should be split up. Without an estate plan, your loved ones will be left with many questions. In some cases, families fight about assets and over who gets what.
Lowering Medical Costs
As you age, the cost of your medical care increases. Significant expenses like home care and nursing home care can reduce your assets. By working with an estate planning attorney, you can protect your assets and qualify for the medical care you need without “spending down” your assets. You can even avoid the nursing home altogether if that’s your goal.
Assigning Guardianship
If your children are under 18, an estate plan allows you to assign guardianship so they’re protected. Even if you don’t have minor children, you can use your estate plan to assign guardianship over your pets.
Reducing Taxes
Estate and inheritance taxes are a major concern for many people. With help from our team, we can provide asset protection tools to reduce your tax burden and leave more of your assets to your family.
What Happens if You Die Without an Estate Plan?
Dying without an estate plan means that the state can decide what to do with your assets. In most cases, the state will attempt to locate your closest relatives and divide your assets between them.
Close relatives can include:
- Your surviving spouse
- Your children or grandchildren
- Your parents
- The descendants of your parents
- Your grandparents
- The descendants of your grandparents
If the state cannot locate any of your surviving family members or you don’t have any surviving family, it will take your assets. When you die without an estate plan, it offers you no control over the assets you’ve worked so hard for. They could be given to family members you don’t know well or haven’t seen in decades. If you want to dictate exactly how your assets are divided after death, contact an estate attorney today.
Do You Need an Estate Planning Attorney?
It can be overwhelming to think about the future, especially when planning out what might happen after you pass. However, creating an estate plan is the only way to preserve your assets and protect them in the future. If you don’t have an estate plan or you would like to revise your existing estate plan, you need a knowledgeable estate planning attorney today.
Our team is here to provide experienced guidance about estate planning law and make recommendations based on your specific circumstances. If you have any questions or would like to know more about estate planning, contact Patricia Scott Law by calling 510-984-2390 today.