If you are like most people you are probably wondering what you can do to protect your financial future. One thing that many people fail to do is get the proper estate planning done. Here are some things that everyone should know about estate planning to protect themselves and their wealth.
I Don't Have A Lot Of Money, Should I Still Get An Estate Plan?
An estate plan is important for every adult, regardless of if you have a lot of money. Too many people think that they should only get the estate plan done if they have a great deal of wealth, and then when they pass away they leave a mess for their family and loved ones.
An estate plan will do more than just protect wealth. It will help determine how your assets are divided, what happens to your house, how much taxes you owe, and who in your family will be the executor of your estate Thus, regardless of how much money you have, or regardless of if you think it is enough to care about, you should always have an estate plan.
Does An Estate Plan Only Deal With Money?
An estate plan deals with a lot more than money. You will also fill out something called a power of attorney. This is a document that names somebody in charge of your financial, medical, and legal decisions if you are unable to make them. This is very important seeing that you need to be protected. You will know that someone who shares your same interests is making the decisions.
In addition, an estate plan will make a plan for your minor children. If you were to pass away, you need to make sure that someone you trust will care for your children. If you don't have a will or estate plan, this decision will be left up to a judge. Don't do that to your family or children.
If I Don't Have An Estate Plan, Won't It Just Be Divided By A Judge?
If you don't have an estate plan or a properly organized estate plan it will go through a process called probate. This is when the judge determine everything and it can be a long and expensive process. Your family will put more money into getting the estate probated and will have less to keep. If you have an estate plan organized with trust accounts and such you can protect your money so your family can get more of it, and so that it won't take long to organize.
By understanding these things you can protect your estate through a proper estate plan. Check with a company like Christena Silvey Coleman CSC Law, LLC for more help.