An estate plan is a preparation for the distribution of an estate in anticipation of the testator’s passing.
Good estate plans can preserve the testator’s legacy, protect their loved ones and make it easier on their heirs as they grieve. They also make sure that end-of-life and post-death goals are preserved.
What sorts of things can you do with an estate plan? Here are a few possibilities:
1. You can select your heirs
Anyone can be your heir. Many people name spouses, children, siblings, distant relatives or friends as beneficiaries – but you can also make a trust, a business or a charity a beneficiary of your estate, as well.
2. You can name an executor
The person responsible for managing your assets and debts and making sure that your will is properly probated (among other things) is the executor of the estate. If you don’t name one, the court will appoint one – but most people prefer to have someone they know and trust handle the job.
3. You can include powers of attorney
A power of attorney is a representative who acts on behalf of the testator if they suddenly develop a sickness or suffer from an accident that leads to their incapacitation.
4. You can name a guardian for a minor child
Last but not least, you may want to name a child guardian. If you have minor children, naming someone to step into the parental role if you and your spouse should die in a common accident can be crucial.
If you’re thinking about making an estate plan, then you should be aware of all of your legal options. Learning more about what a good estate plan can do may help.
