Know and Understand Essential Probate Financial Planning

Following your death, you want to be absolutely sure that your loved ones are taken care of and your assets are quickly passed to your beneficiaries. Here is a closer look at some of the key aspects of estate planning and a few steps that you can take to make this process as smooth and stress-free as possible.

Wills

One of the easiest and most effective ways to protect your family and assets after you pass away is establishing a will. A will is nothing more than a legal document that describes what you would like to do with your assets after you pass away. That document can also be used to name your executor and who is going to be the guardian of your children if they are still minors.

Living Trusts

The primary purpose of a living trust is to quickly transfer a deceased party’s assets without going through probate. When the state doesn’t know where the assets are going to go, they are placed in probate, and that process can take years. 



Probate will become even more complicated if one or more parties claim that they are the rightful beneficiaries. To avoid those issues, you should consider establishing a living trust.

Financial Power of Attorney

If you ever become incapacitated, then the individual who has been given financial power of attorney will be able to manage your finances. That type of legal document is going to be incredibly important if you are severely injured and don’t have the ability to pay bills, invest, transfer your assets, or collect retirement benefits. When an individual doesn’t establish power of attorney, all of those important financial transactions are going to be nearly impossible.

Medical Power of Attorney

The medical power of attorney document is very similar to the financial power of attorney document, but the individual can make medical decisions instead of financial decisions. In many cases, these two documents are signed by the same spouse, sibling, or parent. After the paperwork has been signed, that party will be able to make a wide variety of medical decisions if you are ever in an accident or suffering from a serious disease.

Once you have finished your estate plan, you should review and update it at least once every year or two. You must also take a fresh look at all of that paperwork whenever you buy property, sell property, switch jobs, or alter your marriage status.

How to Plan Financially for When You’re Gone

No one likes to think about dying, but you need to plan ahead if you want to protect your family and loved ones. With the proper plan in place, you can rest assured that your family won’t have to deal with overwhelming end-of-life expenses or a complicated legal battle after you pass away.

Organize and List Your Assets

The first step in this process is taking stock of all the assets that you own. In addition to homes and cars, you should also list all of your financial accounts, investments, heirlooms, jewelry, and memorabilia. Once you have that list, it is going to be much easier to plan out your estate or write a will.

Establish a Will or Trust

Even though wills and trusts are somewhat similar, there are a few important differences that you should be aware of. A will is a legal document that describes where you would like all of your assets to go once you pass away. 



Trusts specify where you would like your assets to go as well, but they are overseen by a designated individual known as a trustee. Once you pass away, the trustee can immediately begin the process of transferring all of your belongings.

Consider Setting Up a Living Will

If you are worried about your health, then you should think about setting up a living will. Those documents inform doctors of your wishes if you are incapacitated or can’t make reasonable decisions regarding your health. 

Some living wills also designate a healthcare proxy who can make decisions for you. Keeping an incapacitated individual alive can be very expensive, and many people don’t want to leave those bills to their family members.

Rethink Your Insurance

The final step in this process is taking a fresh look at your insurance to see if any of your policies need to be altered or updated. Life insurance is a great start, but you might want to consider some other policies as well. Options such as end-of-life and burial insurance will help your family cover specific expenses that can sometimes be overwhelming.

In addition to these few tips, you also need to speak with your loved ones about your wishes so that everyone is on the same page. Transferring assets and paying off debts after an individual passes away can be very complicated, and you don’t want to leave a huge legal mess for your family members and friends.

The Important Things to Include in Your Will

Have you thought about writing your Will yet? You might not want to think about it, because the thought that you will one day pass away is not a pleasant one to dwell on. However, anything can happen and having a Will is important to ensure that your estate is dealt with the way you would like it to be. 

A Will is the most important part of your estate plan and it will outline the way that you would like your assets to be divided when you pass away. This document will also identify your executor or personal representative who will be responsible for managing your estate and wrapping up your affairs. If you die without a Will, your relatives and dependents could have a big mess on their hands. The government will be able to decide what happens to your assets and they might not go to whom you would choose. 

What Should a Will Include?

So what sort of information should a Will actually include? First of all, you should make a complete and comprehensive inventory of all your financial assets including your credit cards, bank accounts, retirement funds, investments, real estate and much more. It is only when you understand exactly what you have that you will be able to divide it accurately. You can then explain which family members, friends and charities you would like to receive your assets.

Your will should also have information about who you would like to appoint as your executor. This is the person who will be responsible for dividing up your estate and conducting your affairs. It is a good idea to choose a backup executor in case your first choice dies before you or cannot perform their duties for whatever reason. Usually the executor is a trusted family member, friend or solicitor.

If you have children that are under the age of 18, your Will must also include information about who you would like to become the legal guardian of these children. Think about whom in your family and friends would be the best caregiver for your children and talk to them about whether they would be willing to take on the responsibility. You should also talk to your children about the choice to make sure that they are happy with who you have chosen.

These are just a few of the important details that your Will should include, of course yours Will be unique to your situation and might include other aspects. 

Taylor Brunswick Can Offer Will Planning Advice

If you are planning your Hong Kong Will, Taylor Brunswick can help you by offering you personal insurance that will put your mind at ease. They have years of experience with Will planning and they will be able to get to know your situation and provide you with advice that suits your particular needs.

Writing your Will can be quite confusing and overwhelming, but you don’t have to face it on your own. Enlist the help of these experienced and dedicated financial advisers to ensure that you have created the perfect Will for your needs.

10 Money Conversations Most Families Never Have

. (Photo credit: BrethrenBenefitTrust)The conversations between adult children and their parents concerning money and financial subjects rarely happen. Even thought these conversations are difficult to have they are a necessary part of an estate transition. 

Sadly, these necessary conversations usually are forced to take place when the elder parents are to sick or impaired mentally.
It's important that this has to change and open conversations need to take place when all parties are in good health.

According to a report by the Alzheimer's Association, 5.2 million -- or 1 in 8 Americans -- over the age of 65 have Alzheimer's disease. The same report also cites a study which estimates 13.9% of Americans over age 71 suffer from some form of dementia. If you suddenly had to take over a parents financial affairs would you know where to start.

For the good of all the family you should start as soon as possible to get organized. It will be a benefit to yourself and your parents.

1. Have they named a durable power of attorney to manage their finances?
The first step is to find out if they have named a Durable Power of Attorney (POA). Without a POA in place, you'll have to go to court to get guardianship of your parent in order to access accounts on their behalf.

2. Where do they keep their financial records?
Whether they keep their money and documents in a bank, a safe, or under the mattress, you need to know where to find records when you need them. What is the location of keys or codes to lock boxes or safes?

3. What are their bank account numbers and names of their financial institutions?
In addition to knowing where they keep their money, you need specifics on all account numbers. What banks do they use? Who is their mortgage company? Do they have an investment firm?

4. What are your parent's monthly expenses?
Gather information on their mortgage, car payment, credit card debt, electric bill and other expenses.

5. How do they pay their bills currently?
If there are automatic deductions being taken out of a checking account, you need to know about it. Do they use online banking, or only paper checks?

6. How much is their annual income and where does it come from?
Does your parent receive a monthly pension check? Do they have dividends coming in from investments? Do they get money for a disability, or alimony?

7. Do they receive Medicare, Medicaid, or Social Security?
If your parent becomes incapacitated, you may have to investigate the status and eligibility of government assistance.

8. What kind of medical health insurance do they have in addition to Medicare?
Do they have health insurance provided by an employer? If they are retired, are health benefits included as part of a pension?

9. Do they have long-term care insurance?
A "regular" health insurance plan does not cover the cost of assisted living or a nursing home. Did they purchase a long-term care insurance policy to cover the cost of those residences? If not, and they can no longer live on their own, what can they afford in terms of housing?

10. Do they have an accountant or financial planner?
Who is it and how do you contact them? Have they done any estate planning?

These and many other questions need to be answered before a situation becomes to difficult. Even if many of these things can not be revealed presently, a file or drawer where all of this type of information can be found quickly is a necessity.

Why You Should Have A Will.

Image by julianrod via FlickrI was over at my lawyers office this week to modify my will. I remember going many years without having a will. It was very foolish not having one because if you don't, you have given up any say in your affairs after your death. You take such good care of your life and family during your life, why not provide direction after your gone.

What is a Last Will and Testament? Most of us think we know what a will is, but do we really? If you said that a will is a document where a person declares who gets his or hers assets upon death, you are only partly right. A will does much more than that.

Guardianship of your Children.

Do you ever wonder who your children will live with after your gone. They may go to relatives you don't approve of, if your wishes are not stated in a will. If you have children under the age of 18, a will is the place where you declare whom you want to be the guardian in the event of your death.

The courts will decide who gets custody of your minor children based on what is in your childrens's best interest, but judges will give great weight to the stated wishes of a child's natural parents. Judges can't do this unless you have stated those wishes. And the place to state them is in your will.

Administration of Your Estate.

You don't have to be rich to want to ensure that after your death your property and assets are not squandered or stolen. A will is the place where you appoint someone you trust to administer, manage and distribute your assets. If you don't appoint someone to do this for you, the court will appoint a total stranger to serve in this capacity for a fee.

Guardianship of Your Children's Property.

Minors do not have the capacity to contract and therefore do not have ownership rights to property. An adult must be appointed to manage a minor's property until the minor becomes of age. But even after your children reach the age of 18, you probably won't want them to have full ownership rights to your property because if they are anything like I was at 18 they'll probably blow it all in beer. A will is where you not only decide who gets your property but when and how they will get it.

Separate Writing

Florida law allows you to keep a list of special items you wish to leave to certain benificiarys upon you death. This list may be updated by you at anytime without the need for revision of or amendment to your will.

Some examples:

• An engagement ring to a niece
• A baseball card collection to a nephew
• A library to an grandson
• A photo album to a brother

Living Will

Sounds like a contradiction in terms, right? Well, a Living Will is a document that tells your healthcare provider under what conditions you wish not to be revived. It is an essential part of your estate plan. In it you will name one or more health care surrogates who are empowered by you to make decisions about your health in the event you are incapable of doing so.

Durable Power of Attorney

A durable power of attorney is a document that you execute authorizing someone of your choosing (usually a close relative or trusted friend) to handle your affairs in the event you become incapable of doing so. Like the Living Will, this is an essential part of your estate plan.

For so long I put off having a will made. Don't make the same mistake. For only a few hundred dollars you can have piece of mind. This week make plans to see a lawyer and draw up a will.