Estate Planning
Preparing for death or major illness – it’s a somber topic that most of us would just as soon not think about.
I receive a lot of questions from you asking about estate planning. Estate planning is about letting your loved ones know ahead of time your wishes in the event of your death or disability, therefore it is about having control over some very important things.
Like naming a trusted person to make healthcare decisions for you and also to pay your bills if you became disabled. Or in the event of your death to have a designated guardian for your minor children and indicate how you want your personal items and assets handled.
So, estate planning is for everyone, not just those who are wealthy, and it does not have to be complicated. Your loved ones are not mind readers, so unless you have a document in place that spells out your wishes, you are leaving them guessing.
Remember – estate planning is about documenting your wishes and intentions in the event of your death or disability. Let’s break down what you will need.
In the event that you become disabled:
1. Durable power of attorney where you authorize a trusted person to handle your finances, like paying your bills, managing your assets and even dealing with the irs.
2. Medical durable power of attorney, appointing someone to make medical decisions on your behalf.
3. Living will – which is a document given to your attending physician that explains the care you wish to receive in the event of terminal illness or a serious accident…
It can address things like organ donation, managing pain, or making life-support decisions.
Finally – you will need a will, which spells out your wishes in the event of your death; such as who you trust to raise your children and how to dispose of your personal property.
So how do you go about getting these documents? There are plenty of self-help tools online, however it is very important that these documents are legally valid, so they should be drafted – or at the very least – reviewed by an estate planning attorney.
