Estate plans and wills both indicate your end of life wishes when it comes to choosing guardians and naming heirs. Both ensure that your assets will not be left for the courts to distribute as they see fit. An estate plan and a will are both important legal documents, but they are not the same thing when it comes to long term planning.
A will is what most people think of when it comes to estate planning, and a will is a good start. A will is a legal document that contains instructions for the distribution of your assets after your death. You can suggest guardians for your children, or adults you care for, and specify how you would like your assets to be distributed.
A will does not avoid probate. Anything in your will has to go through the public probate process, which can be long and costly. The court system does determine the majority of the process.
A living will isn’t at all like the will that you’ll write to distribute property and assign guardians. A living will is a document that lets people state their wishes for end-of-life medical care, in case they’re unable to communicate those wishes themselves. It will guide family members and healthcare professionals when it comes to making decisions about treatment. After death, a living will has no power.
Estate planning is more inclusive. It’s the process of arranging the entire estate to ensure beneficiaries receive the maximum benefits in the quickest amount of time, avoiding tax and court expenses and delays as much as possible. A will and living will are usually included in an estate plan, along with a revocable living trust, assigning power of attorney, designating beneficiaries, and other documentation that is tailored to your specific situation.
Estate planning is something that everyone should address. All adults, even if they don’t think they have any assets to worry about should make sure that they’ve taken the time to make things easier for their loved ones. Without planning, the courts will decide how assets will be distributed and who they will be distributed to. The process can be long, expensive, and stressful. With comprehensive estate planning, including a trust, a will, and a living will, you can be sure that your loved ones will not have to deal with additional stress when you’re gone. If you have questions about your own estate planning, or if you’d like to begin estate planning, contact my office today.