Protecting and Preserving Your Assets
There’s a common misconception that estate planning is only for the super-wealthy. However, if you own any assets at all – a home, a car, a savings account, or personal possessions – you have an estate that needs a plan in place. Creating an estate plan not only protects your assets now but also preserves them for the future so they can be passed down to your heirs and beneficiaries.
Our team at Patricia Scott Law is here to create a customized estate plan that meets your needs. With a thoughtful estate plan, you can plan for future home care and possible long term care expenses, and maximize the assets that are left after you pass away. We can also advise you regarding minimizing estate taxes and protecting your hard earned money from creditors and lawsuits.
At our law firm, we know how much you’ve worked for your assets throughout the years. We are committed to helping our clients maximize their estates and preserve their assets. For more information about our services, please contact us today at 510-984-2390.
What’s Included in an Estate Plan?
Estate planning law encompasses a wide range of estate planning tools, some of which may be relevant to your situation and others that may not be. When you work with an estate planning attorney on our team, we’ll make recommendations based on your current estate and your goals for the future.
Most estate plans involve the following tools:
Last Will and Testament
A last will and testament, often known as a will, is the most common estate planning document. In a will, you can include instructions for how your estate is handled after you pass away. You can also name beneficiaries and assign guardianship for minor children and pets.
Trust
A trust is a legal agreement between you (the Settlor or Grantor) and a Trustee (who may also be you during your lifetime) who manages certain assets. There are many kinds of trusts, including the revocable living trust. Some trusts can protect your assets from creditors and lawsuits.
Power of Attorney
A power of attorney is a document that assigns power over your assets to another person. In most cases, this power is used if you’re unable to make decisions about your assets on your own. Depending on the type of power of attorney, this person could make real estate transactions, enter into business agreements, or make medical decisions on your behalf.
Advance Healthcare Directive
There may come a time when you’re unable to express your medical wishes. You can create an advance healthcare directive to include instructions about your preferred medical treatments and even assign a person to be your healthcare proxy.
What Are the Benefits of Creating an Estate Plan?
Creating an estate plan is an essential part of protecting your future. Not only does it benefit you now, but it provides countless benefits to your beneficiaries and your heirs.
The many benefits of creating an estate plan include:
Avoiding Probate
The primary reason most people in California choose to put their assets into a revocable living trust is to avoid the substantial costs and delays of probate, which is the formal administration of a deceased person’s estate. By avoiding probate, you can pass on more of your hard earned assets and legacy to your family or other intended beneficiaries.
Reducing Family Conflicts
After a loved one passes away, family members turn to the estate plan to determine how to divide assets. When there’s no estate plan in place, family members may fight or disagree about how your assets should be divided up. With a clear estate plan, you can designate your assets to your beneficiaries to avoid any questions.
Lowering Taxes
When you pass assets onto your loved ones, they may be subject to an inheritance tax. Using estate planning tools, our team can help you reduce this tax so your family members receive a more significant chunk of your estate.
Protecting Minor Children
If any of your children are still under 18, you can use an estate plan to assign guardianship over them. While no one wants to think about what could happen if they pass away, providing protection now ensures that your children will be taken care of in the future.
What Happens if I Don’t Have an Estate Plan?
If you ever become mentally or physically incapacitated and you don’t have an estate plan, the court can control how your assets are used. Having an estate plan allows you to assign a trusted loved one to make decisions on your behalf if you can no longer do so.
When you die without an estate plan, the state can decide what to do with your assets and how to divide them up. Dying without an estate plan is called “dying intestate,” and every state has its own intestacy laws. Generally, the state will look for the closest living relatives of the deceased and attempt to divide the assets among them.
Relatives who may receive assets under intestacy laws include:
- Your surviving spouse
- Your descendants, including children or grandchildren
- Your parents
- The descendants of your parents
- Your grandparents
- The descendants of your grandparents
If there are no surviving family members, your assets may be distributed to the state. Unfortunately, dying intestate offers you no control over your assets after you pass. The state will not make any attempt to respect your wishes unless you have an estate plan in place.
Dying without an estate plan can leave your family with many questions, and it can also cause a lot of unnecessary family turmoil. If you’d like to control who receives your assets and your property, contact our law office today.
What’s Included in a Last Will and Testament?
A last will and testament is the foundation of most estate plans. A will provides peace of mind and protection as you age.
There are many things you can include in a will, such as:
- How your belongings will be distributed
- How your assets and property will be distributed
- Who your beneficiaries are
- Which assets you’d like to donate to charity
- Guardianship of minor children and pets
Wills always go through the probate process after death. The probate process is a court-overseen process that examines the validity of your will. If the will is found to be invalid or if it contains vague language, it could be challenged. Working with an estate planning lawyer on our team is the best way to avoid delays for your family members after you pass.
At our law firm, we understand that it can be difficult to think about your own death and what that could entail. We’ve found that planning ahead can actually help reduce anxiety and give you the clarity you need to keep moving forward. If you have questions about wills or you’d like to start your estate plan, please give our team a call today.
What Does an Estate Planning Lawyer Do?
Our team will work with you to create a thoughtful and thorough estate plan that protects your assets. We’ll talk about your goals, listen to your concerns, and learn more about your family dynamics to understand you better.
We can make recommendations on the right estate planning tools to use for your assets. Not all estate planning tools are created equally, and some may be more relevant to you than others. For instance, if you’d like to maintain privacy and avoid probate, we might recommend creating a trust. If you’re concerned about your medical needs in the future, we can help you draft an advance healthcare directive or a power of attorney.
When you work with our team, we’ll also update your estate plan regularly. We know just how fast life can change, and we want your estate plan to reflect that. We recommend revisiting your estate plan once every five years or more often if you obtain new assets.
Above all, our estate planning attorneys will help give you peace of mind with compassionate legal guidance to help you protect your property, investments, and personal belongings.
Should I Consult an Estate Planning Attorney Today?
Thinking about the future can be daunting, but it’s an essential part of protecting what you’ve worked so hard for. Whether you’re concerned about passing your assets on, paying for medical care, or preserving your funds, our team is here to assist you.
Patricia Scott Law has helped countless clients like you create customized estate plans that meet their needs. To learn more about our team and how we can assist you, please call us today at 510-984-2390.