It’s not something we like to think about, but we all must come to terms with our mortality at some point. And while it’s not the most pleasant of subjects, estate planning is a crucial activity that everyone should go through, regardless of wealth, age, and well-being. Estate planning is organising and documenting your affairs so your loved ones can easily settle your estate when you pass away. While it may seem daunting, estate planning doesn’t have to be complicated or expensive. Here’s where to get started.
Get help to create your will
Creating a will is the foundation of any estate plan, and getting help from a trusted financial advisor is important to ensure that your wishes are properly documented. Seeking professional advice is key for a legal and safe will as it needs to reflect applicable laws and comply with your personal preferences. A reliable expert can guide how to divide assets among beneficiaries and put protective measures in place for children or other dependents. Getting outside assistance on writing your will means ensuring that your instructions are followed, and plans for your family are secure if something happens to them. Click here to seek the help of a trusted financial advisor who can guide you throughout the estate planning process.
Line up your supporting cast
Having a complete estate plan in place involves more than just a will. It’s important to line up your supporting cast of documents by engaging an experienced attorney to craft a power of attorney. It makes provisions for someone to manage your financial affairs should you become unable to do so, allowing you to rest assured that those responsibilities are handled competently and compassionately. Additionally, the healthcare proxy allows someone else to decide on medical treatments that align with your wishes if you cannot make them yourself.
Be specific
When creating your will, being as specific as possible is important. The greater the detail you provide, the easier it is for those carrying out your wishes even after your passing. The goal would be to include information about accounts, security box information, debts, income tax details, and communication of how you want your assets used. Experts recommend consulting with a financial advisor to ensure everything is covered and taken care of.
Update your will after major life changes
Having a will is an important part of good financial planning and should be taken seriously. This document reflects your current wishes for how your assets should be managed after death. Therefore, it’s essential to update your will whenever a major life change occurs, such as marriage, separation, divorce, loss of a child, or acquiring new assets. Keeping your will updated prevents confusion and simplifies the task for your executors upon your passing.
Final thoughts
Estate planning is an important part of financially protecting yourself and your loved ones. By creating a comprehensive estate plan, you can ensure that your wishes are carried out and that your loved ones are taken care of financially after you’re gone.
