We’ve all heard it before; estate planning is an important part of life. In fact, it is one of the most important things you will ever do. When you plan your estate, you are securing your future and the future of your dependents. You are ensuring that all of your assets and property go exactly where you want them to go at the time of your death. You are also protecting your own rights should you no longer be able to care for yourself mentally, physically and financially.
As mentioned above, a big reason why people plan their estate is to ensure the protection of their assets. This is done to protect against spend down, which happens when going through Medicaid to qualify for assisted living or other nursing home facility. An estate plan might also involve an insurance policy known as an umbrella, which helps protect you when you pass other policy limits.
Should you have a large number of assets, you could be subject to probate fees and other taxes. When you work with an experienced estate planning attorney, you will be able to determine the best course of action with the estate plan. You want to move your assets to family who will experience the least amount of fees and taxes as possible.
You can remove the fear associated with losing your money when you plan your estate. You won’t have to worry about who gets your property or assets upon your death since you have it in writing and already know who will inherit what item that belongs to you.
Putting together an estate plan early in life is important. You don’t need to wait until you are married or have children to perform this task since the documents can be altered as often as needed in Salem.
Source: Forbes, “The 3 Reasons Why People Do Estate Planning,” May 21, 2018