Are you looking into constructing a plan for your estate, but are unsure of where to start? Here at Jefferson Estate Planning, our goal is to guide and educate our clients. We want you to have all the tools needed to achieve your estate planning goals. We understand estate planning can be a very complex and overwhelming hill to climb. Today we are going to shed some light on the subject of estate planning. Here is a comprehensive list of questions you should ask any estate planning attorney, and answers you should receive before making any decisions. Let’s jump right in.
What is estate planning?
Estate Planning is defined as: “the arranging for the disposition and management of one’s estate at death through the use of wills, trusts, insurance policies, and other devices”. In short; estate planning is essentially a game plan created before death for where your assets are distributed after death.
Source: Merriam-Webster
But we don’t stop there. We also cover those situations when you are still living but cannot make your own medical or financial decisions. Who pays your bills or makes medical decisions for you if you are temporarily incapacitated? Our plans all include a medical and financial power of attorney where you designate your agents to make decisions for you when you are incapacitated. Finally, and one of the most important things we do, is that we establish guardians for your minor children if you cannot take care of them. Nobody wants the state to decide who would take care of your children if you cannot. All of our estate planning packages establish short and long-term guardians for your minor children if you are unable.
How does estate planning work?
Estate planning works by preparing several documents and decisions through an estate planning attorney. All of these documents and forms are to be used to appoint power for decision-making before death, as well as distribute assets after a death. You will work closely with the probate attorney or estate planning attorney throughout the entire estate planning experience. The time spent preparing these documents will benefit you and your family in the grand scheme of things.
What makes up my estate?
There are several aspects that make up your estate. Life insurance death benefits can be a part of your estate, who gets that benefit after a passing. Your interest in a business is considered something that is a part of your estate. Money in, money out would be considered your interest in a business. Personal property is a large portion of what makes up your estate, houses you occupy year round. Real estate, which would be all the property you own in any fashion. Retirement plans, such as 401K’s and even IRA’s are considered to be part of your estate. Cash is the second to last thing that makes up your estate, how much cash you have at the time of death. Estate Securities are taken into consideration as well. Your interests, debts, and equities in property as well as companies.
Why should I consider setting up an estate plan?
Preparation now will save you time, money, and issues in the future. To begin, let’s break down the “time” aspect when creating an estate plan. With an estate plan in order, this means not only are you and your family in agreement of what’s to come after a death, but the state recognizes this agreement as well. If you do not set up an estate plan, California will create one for you, although you might not like this plan. Your family could spend 9 months to 1.5 years arguing over your assets, creating stress and hardships.
Money can be the root of a lot of issues after a passing, and can be a big blessing or a curse. Setting up an estate plan can offer ease when it comes to the subject of money and valuables. On the contrary, zero preparation before a death can lead to a probate court determining where your assets go. On top of your assets being determined by a court and lawyers, they will take 10-15% of your assets in costs. Leaving your legacy split between your family and the state.
Concerning issues such as guardianship can be one of the most difficult to figure out after a death. Children or minors being left without a guardian at the time of a death can result in the courts determining who gets to be the guardian of your child. Estate planning is fast, simple, and easy. Spending some time now to prepare for the future is always a safe bet. Put the power of your life and legacy in your own hands!
What packages do you offer?
Every estate planning attorney will offer several packages for you to choose from. A great estate planning attorney will guide you in the right direction that suits your needs. With the services an estate planning attorney can provide, it is important to be open about your needs, so you get the best package possible. Here at Jefferson Estate Planning, we offer 3 types of packages. A Basic, Family, and a Family Trust Plan. Each is slightly different, depending on your specific situation. Together we will determine which package is right for you. Click here to read more about our packages.
Which package is right for me?
This will entirely depend on your situation. In most cases, a will and power of attorney for finances as well as a health care directives are common inclusions. A will is a simple document with instructions for distributing of assets after death. Enforced only by a probate court. A probate court is just a court that deals with the validity of wills. A will is the base layer of estate planning. Paired with the will, usually comes with a power of attorney for your finances if you become incapacitated, and a health care directive.
A health care directive is a person who can make medical decisions for you if you cannot. Every package we offer here at Jefferson Estate Planning comes with these three base services, as well as a guardianship form. The guardianship form is a legal form indicating your choices as to short-term and long-term guardianship of your minor children. A very important aspect if it applies to you.
Conclusion
Before choosing an estate planning attorney, be sure to ask all of these questions. Listen to the services they offer and which services they recommend. The right estate planning attorney will guide you to the services you need, not the most expensive route. Estate planning can be complex, it is the estate planning attorney’s job to ease the pain of stress when planning for what’s to come after death. To find out more about how Jefferson Estate Planning can help, please contact us. We would love to hear from you!
