Death is an inevitable part of life and this is the main reason why you should plan everything accordingly for when you die. If you have a family then preparing your estate should not even be a question. Many people including famous ones like Prince die intestate without a legal will. When you do not prepare your documents effectively, you make the task of settling your affairs an arduous one for your surviving loved ones. Having the right kind of Estate lawyer on your side will make the process effortless for you.
Estate planning goes far beyond just drafting a legal will, you need to account for all your assets and render it possible to transfer them adequately to those that you have listed as your beneficiaries. So, you have to arrange for the management and disposal of your assets while you are still alive. The key reasons why having the disposal of your estate planned are the following.
It Protects Your Beneficiaries
Estate planning is no longer reserved for the wealthy and famous. If you are a breadwinner at home and something happens to your surviving family members, a contingency plan will be put in place to ensure that their needs such as the mortgage, college fees, and other monthly expenses are taken care of. It is also important to state who will be receiving which assets to avoid any fallout.
It Protects Minor Children
To leave your children well taken care of, you ought to have a trust in place that will ensure that they are cared for in the manner that you approve of. You should name people that you trust who will be able to take care of them until they can take care of themselves.
Decreases Your Surviving Family’s Tax
When you are setting out your estate, you need to be cognizant of taxes and protect them from the Internal Revenue Service (IRS) by transferring assets in a manner that will leave them with a minimal tax burden. You can use alternative ways to decrease the tax that your beneficiaries will have to pay in the event of your death.
It Saves Your Family
Choosing the most suitable person to control your finances and assets is crucial to eradicating family feuds. Sometimes you may need someone to control your affairs while you are still alive, so choosing someone who will put everyone’s needs as a priority is essential.
The best approach to avoiding family squabbles is to opt for the assets to be divided equally. If you are someone who has children from different relationships, having an estate plan In place is very important. Besides creating a will and considering a trust, making a financial power of attorney and life insurance are valuable choices that will benefit your loved ones in the event of your death or should you become mentally and physically incapacitated.