Estate Planning
If you do not move on an estate plan, the government drafts one for you. With that said, everyone needs an estate plan. It allows your wishes to be followed when you are no longer able to speak for yourself.
A solid estate plan starts with the fundamentals. In the old days, people generally laid out everything in their Wills, which are public documents. When someone passes away, his representative must file the Will in the county in which the deceased lived. Because of Will vultures (people going through the filed Wills to bring frivolous lawsuits), it is recommended that everyone has a Revocable Trust with a pour-over Will. A pour-over Will contains minimal information. The important information is contained in a confidential document – the Revocable Trust, which is also commonly known as a Living Trust.
The Revocable Trust allows you to lay out your wishes in a confidential matter. It provides you with the flexibility to take assets out and put in others as you please. Because of this, it is not designed to afford any asset protection. Upon your passing, the Revocable Trust becomes irrevocable. Now your beneficiaries may be afforded creditor protection.
In addition to the Revocable Trust and pour-over Will, everyone needs a durable Power of Attorney for both Healthcare and Property. These are pivotal documents, so your wishes are followed when you cannot speak for yourself. Whoever said you cannot control from the grave did not do adequate estate planning.