Creating an Estate Plan Now Will Avoid Unnecessary Hassles In The Future

Regardless if you plan to leave your assets to your family or to charity, having a strong and updated estate plan is essential to minimize taxes and unnecessary burdens when transferring your estate when the time comes. Although we are not attorneys ourselves, we work closely with our trusted legal experts (or your own personal attorney) to put in place a comprehensive estate and wealth-transfer plan that fits your personal and family wishes and goals.

Essential Estate Planning “Must-Haves”

No matter what stage in life you are, or how much wealth you have accumulated, everyone should have a simple estate plan in place - at a minimum. No two circumstances are the same, which is why it is important to speak with an attorney to discuss which combination of estate planning documents you should have to protect yourself and your loved ones from the unexpected. Most every estate plan should include the following:

  1. Wills/ Trusts

  2. Durable Power of Attorney

  3. Beneficiary Designations

  4. Letter of Intent

  5. Healthcare Power of Attorney

  6. Guardianship Designations

Trusts

A trust is a fiduciary arrangement that allows a third party, referred to as a trustee, to hold assets on behalf of a beneficiary or beneficiaries. Trusts can be arranged in many ways and can specify exactly how and when the assets pass to the beneficiaries.

Since trusts typically avoid probate, your beneficiaries may gain access to these assets more quickly than they might to assets that are transferred using a will. Additionally, if it is an irrevocable trust, it may not be considered part of the taxable estate, so fewer taxes may be due upon your death.

There are many different types of trusts which can be used for various circumstances. Some of the most common trusts that are involved with more extensive estate plans include:

  1. Charitable Trust

  2. Qualified Terminable Interest Property Trust

  3. Grantor Retained Annuity Trust

  4. Irrevocable Life Insurance Trust

  5. Irrevocable Funeral Trusts

  6. Spendthrift Trust

  7. Special Needs Trust

  8. Generation-Skipping Trust

  9. Totten Trust