The truth of the matter is estate planning does not need to be difficult, especially if you follow this 5 step checklist to prepare your documents.
An advance directive typically referred to as a living will, is a document that provides guidelines as to what medical personnel are authorized to do if you become incapacitated in the future as to which you cannot tell them what your preferences are.
If you own a home or if you have children, it’s especially important that you get a life insurance policy as a part of your estate planning efforts.
A power of attorney (POA), gives another individual the legal authority to make decisions on your behalf. Most experts recommend that you should establish a power of attorney for your finances and your health as well.
Creating a last will and testament is one of the most basic and critical aspects of estate planning. If you pass away without a will, this enables the government to redistribute your assets according to state law.
In today’s world, most people have digital assets in digital wallets like Paypal, Bitcoin, Monero, and more. When it comes to creating an estate plan it’s important that you don’t forget about your digital assets.
Advance Directive
An advance directive typically referred to as a living will, is a document that provides guidelines as to what medical personnel are authorized to do if you become incapacitated in the future as to which you cannot tell them what your preferences are.
You can include details such as whether they should utilize life-sustaining measures like breathing tube and feeding.
Life Insurance Policy
If you own a home or if you have children, it’s especially important that you get a life insurance policy as a part of your estate planning efforts.
A life insurance policy can help to cover estate taxes and pay large amounts of debt, in the event that you pass away and the aforementioned expenses get passed on to your spouse or family members, such as mortgage payments for example.
Power of Attorney
A power of attorney (POA), gives another individual the legal authority to make decisions on your behalf. Most experts recommend that you should establish a power of attorney for your finances and your health as well.
While this can be the same person, it doesn’t have to be and you can choose to give an estate planning attorney, power of attorney over your finances or health care.
Create a Will
Creating a last will and testament is one of the most basic and critical aspects of estate planning. If you pass away without a will, this enables the government to redistribute your assets according to state law.
The key thing to consider when creating your will is to determine how many assets you possess and the people that you would like to get them.
Digital Assets
In today’s world, most people have digital assets in digital wallets like Paypal, Bitcoin, Monero, and more. When it comes to creating an estate plan it’s important that you don’t forget about your digital assets.
As such, it would be a good idea for you to list all the digital assets you possess along with passwords and usernames, as to which you can give someone you trust so that they can access your accounts.
As you can see, the process of establishing an estate plan doesn’t have to be difficult. The most important thing to remember is that you should be aware that any asset that you fail to include in your estate plan, will be surrendered to the government.
As you can see, the process of establishing an estate plan doesn’t have to be difficult. The most important thing to remember is that you should be aware that any asset that you fail to include in your estate plan, will be surrendered to the government.
In addition to that, take a look at any debts you pay possess or things your children may need if you pass away, and consider these factors when it comes to planning your estate accordingly.
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