Death may come at any time, irrespective of age and health. Proper estate planning helps secure the future of your family and loved ones. Negligence or delay could put your assets in the wrong hands and become a hindrance for your rightful heirs. Estate planning covers all the central verdicts regarding your possessions, i.e. what will happen to your property after you are gone or disabled, who will manage the finances, who will take care of your children, and so on. Estate Planning Attorney in Colorado Springs, CO assures that Estate planning is not as complicated or costly as people assume.
Key aspects of an Estate Plan:
- Living Trust
- Living Will & Healthcare Power of Attorney
- Financial Power of Attorney
- Last Will and Testament
The Benefits of a Living Trust
A Living trust is a legal entity that safeguards all your valuable assets from probate court. When you transfer properties to a trust, you become the trustee and the details of that property are off public record. Therefore, if you die or become incapacitated, the property will directly fall into the hands of your designated successors. The time & cost of legal procedures will go away and the heirs will get relief from some estate taxes as well.
The Importance of Living Will & Healthcare Power of Attorney
It is possible that a person my fall into a vegetative state or coma, and he/she may not be able to make a life decision for himself/herself at the time; this includes organ donations as well. A Living Will or ‘Advance Directive’ allows a person to make future decisions regarding their health, while they are still conscious and active. Advanced medical technology can keep your unresponsive body alive for years, and your family may have a hard time letting go.
Through a living will, you can accept or refuse artificial life support systems. This will help avoid conflict and grief among your loved ones. The Healthcare Power of Attorney lets you appoint a person in charge of your medical situation. In case you suffer a terminal illness, which leaves you incompetent for making decisions for yourself, this person will step in make sure you are taken care of according to your wishes.
Significance of Financial Power of Attorney
The power of attorney allows to you designate someone to make all sorts of financial decisions on your behalf. You can grant full or limited power to your selected candidate, so that he/she can control certain matters in your absence. This person may have permission to carry out bank transactions, access safety deposits, deal with properties, approve/disapprove contracts, make/receive payments, deal with insurance, collect social security benefits, etc.
Last Will & Testament
This is probably the most important legal document that concerns your estate and/or property. The Last Will and Testament will ultimately determine that who gets to inherit your assets, or who is in charge of managing them. If you fail to create this document during your lifetime, the court of law gains power to make the final decisions; this includes assignment of a guardian to your underage children. Lack of a will causes disputes among family members, and they end up spending thousands of dollars for recovering the assets.