Does Your Estate Plan Include these 5 Elements?
Estate planning can be a difficult, yet essential, part of your financial planning process. Estate planning alleviates the burden of guesswork for others in the events that you are deceased or no longer able to communicate yourself. At Metroplex Wealth, we specialize in estate planning in Southlake, Texas, and we visit with clients on a daily basis about the ins and outs of the estate planning process.
Whether you already have an estate plan in place – or are looking to update yours – be sure to include these 5 essential elements:
- Last Will & Testament
This is a big one and one that most people think about when they think about an estate plan. When you pass, your belongings go into probate, should you not have a Last Will & Testament in place. A will gives your family and loved ones security in knowing they are carrying out your wishes and also protects your assets from further taxation and fees.
2. Living Will
In medical situations, a Living Will & Healthcare Power of Attorney (which we’ll talk about in a second) are vital. Unlike a Last Will & Testament, a Living Will applies when you are still alive. This will is to be used if you are incapacitated, outlining what someone is to do if you need life support.
3. Healthcare Power of Attorney
In conjunction with a Living Will, a Healthcare Power of Attorney simply gives another individual the right to speak on your behalf, should you be unable to make your own healthcare decisions.
4. Financial Power of Attorney
When you are drawing up your will and doing estate planning in Southlake, it’s important to also consider who you would like to handle your financial business should you become unable to do that yourself. This person is called a Financial Power of Attorney, and without he or she, it is extremely difficult for someone else to make financial decisions on your behalf should you become incapacitated.
This is not essential for everyone creating an estate plan, but it is something worth discussing with your wealth manager and estate planning attorney. A trust is a vehicle that can be setup to determine when and how your assets are allocated. This can be while you are living or after you have passed away. The goal is to manage funds and assets to be used in a certain way or at specific milestones in life. An estate planner can walk you through whether or not a trust makes sense for your estate plan.
Whether you need a new estate plan or are looking to revise an existing one, give us a call at Metroplex Wealth. We specialize in estate planning in Southlake, Texas and would love to discuss your needs and how we can best serve you.