Why Estate Planning is Crucial, Regardless of Your Wealth

It’s a common misconception that there is a specific timeframe or level of wealth required in order to begin estate planning. In reality, it’s never too early to organize your personal affairs and get your plans in order, especially if you have a family. And regardless of your wealth or how many assets you have, you’re going to need someone–whether it’s your children, spouse, or other family member–to properly handle your finances when you no longer can.

When it comes to estate planning in Streamwood, a real estate attorney can help you make the right decisions when it comes to protecting your finances and saving your family distress, says Jackson Abdalla Law Group. You’ll have a lot of paperwork to go through and a lot of choices to make, which a lawyer can provide expert and knowledgeable assistance with.

Trustees

If you pass away unexpectedly, your children will need a legal guardian. This is one of the most important provisions to consider when the time comes to begin your estate plan. Drafting a will is a vital step in naming the guardians for your children, says the Wall Street Journal, and a will is one of the first documents you should have drawn up.

Appointing a trustee to manage your finances after your passing is also advised. This is a way to ensure that your finances are handled in the way you intended, and that your beneficiaries receive exactly what you intended them to receive. Appointing a trustee can be a long process, and some people who you choose may not be up to handling such a large responsibility. When you do establish a trustee, as Forbes says, it’s important to consider periodically reevaluating your choice. Perhaps your relationship with this person is not as stable as it was years ago, or perhaps there are other reasons why they’ve become unable to handle the responsibility.

Power of Attorney

A power of attorney is a way to grant someone else the power to make decisions regarding your health and finances when you are no longer able to. In the event that something unexpected happens, it’s likely that you won’t want the state making decisions on your behalf. Important directives, such as DNR orders or decisions involving life support, can be appointed to trusted family members to uphold.

Overall, the scope of planning and areas to cover that come along with estate planning are enough to make it clear that starting early is your best approach. Having your affairs in order will help you to rest easy about how they will be handled, and you’ll save your loved ones the stress of indecision.

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