As you may already know, an estate plan mostly focuses on allocating your assets to family, friends and loved ones after you die. While it may be a simple matter to name heirs and their inheritance, there’s often a lot more involved when making an estate plan.
To ensure you know what’ll be required of you when you make your first estate plan, you should consider the following:
1. The executor of the estate
After you pass away, there will very likely be a probate process. Probate is a process for will validation and administration. Typically, a named executor will complete the probate process, which may include not only validating your will and distributing assets but also contacting your heirs, collecting death certificates, reporting on your passing, paying taxes and much more.
2. A child guardian
Death can be a scary thought, but many people fear more about what will happen if they suddenly die and their children are left without parents. But, in your estate plan, if you have children to think about, you can name a guardian. They will take up much of the same role that a parent would, such as making decisions on a child’s education, health, care and discipline.
3. A power of attorney
Finally, it should be noted that an estate plan is heavily focused on matters that relate to someone’s death. However, a testator may name a power of attorney in their estate plan. A power of attorney is a representative who acts on behalf of the testator. They typically only handle financial and medical decisions and are needed when the testator is considered incapacitated after suffering from an illness or accident.
There’s a lot to consider in your estate plan, and it’s only reasonable that you would have many questions. You may need to reach out for help to know all of your legal options.