5 Tips For Having an Estate Plan in Place
Having an estate plan in place can be a very important task. If you have not done so, you could find yourself having to deal with the courts or probate at the end of your life, and the distribution of your assets could go to the wrong people. This is not the kind of thing you want to happen. Here are some tips for having an estate plan in place.
List of assets
Having an asset inventory is a great way to ensure that your heirs will be taken care of. The inventory can take days to compile, but the results will provide you and your heirs with a clear roadmap to the distribution of your assets. Creating the asset inventory can be done by hand, but it can also be completed using computer software. The software can be used to create a digital copy of your inventory, and you can store it in a safe deposit box.
There are many programs and computer software available for asset inventory. Microsoft Excel is a popular program for creating asset lists, and Microsoft Access can also be used. Microsoft Access templates can also be stored in a document safe.
Name a guardian
Choosing a guardian is an important decision. You will want to ensure that your loved ones are cared for if you die. This can be done through your estate planning documents.
There are several factors to consider. You need to choose someone who can provide the best care for your child. You should also consider their age, their parenting skills and their financial situation. You can also include a third party trustee in your estate plan.
If you are a single parent, you may want to name a temporary guardian. The person you name will be responsible for caring for your child if you die. However, this may not be an ideal situation. Some parents prefer that their child attend the same school district as they did.
Name a property manager or custodian
Whether you are a parent or an adult, it is important to know who will take care of your property if you are no longer able to. If you are unable to name someone as a property manager, you will need to petition the court for a property guardian.
A property guardian is a person who manages a child’s assets until the child reaches the age of majority. The guardian is subject to the supervision of the court. They are responsible for ensuring the property meets all requirements, including spending limits and reporting requirements. They should be respected by the child’s family. They should also be willing to travel to the property.
The guardian of a minor can be a single person or a group of people. The person you choose should have an understanding of property management and should be willing to travel to the property location. You should also choose someone who is honest and business-savvy.
Avoid distribution to unintended beneficiaries
Using the right terminology when planning your estate can prevent you from accidentally making unintended distributions. The best way to ensure you get it right is get advice from an estate planning lawyer.
You should update your estate plan when you experience a major life change. This could include the birth of a child or remarriage. If you don’t update your estate plan, you could accidentally disinherit someone you were hoping to leave a legacy to. You should also keep your estate plan updated as your assets change over time.
You should also take the time to learn about different estate planning tools available. There are many options available, including DIY do-it-yourself methods and online services. You should also take the time to read up on the various forms and terms used to ensure you are making the best possible choices.
Whether you are looking for a small estate to pass down or are hoping to make your own wishes known, avoiding probate is an option. Probate can be time-consuming and costly, and it can also cause a lot of public scrutiny.
Avoiding probate can be difficult, but there are a few ways you can avoid the process altogether. For instance, you can gift assets to heirs. This will reduce the probate value, and you will also eliminate the risk of your assets being subject to taxation.
Another way to avoid probate is to set up a trust. A trust is an alternative to a will, and it allows you to leave property to someone you designate. A successor trustee will manage the trust, and distribute assets according to the instructions in the trust.