Do I Need an Estate Plan?

A common misunderstanding is that estate planning is just for the wealthy. In fact, an “estate plan” comprises of much more that just the distribution of wealth using a will or trust. Most understand that an “estate plan” is used to express a person’s wishes concerning his/her property after they pass away, however, few know that an “estate plan” is also used to protect someone’s wishes concerning their property and health in case they become incapacitated and unable to express their desires.

There are many reasons why people in various circumstances implement an estate plan. Here are a few examples:

- You have children and you want to determine who should be the guardian and how they are cared for if you were unexpectedly absent.
- You have possessions which you would like to give to a specific person or persons.
- You would like to control the types of medical treatment you receive if you are incapacitated. (This may include your desire for diagnostic testing, surgical procedures, cardiopulmonary resuscitation and organ donation)
- You want to control how your friends/family receive and use the money you leave behind.
- You want a avoid probate.
- You want to avoid estate taxes.
- You have a business that you would like to continue after your death.
- You plan to give money to a family member or friend and are concerned about the tax implications.

A true “estate plan” may not only involve financial and tax planning but also medical, incapacity and business planning. A will or trust is only one part of that planning process. Other documents are needed to fully create an “estate plan.

If any of these concerns apply to you and you have not yet created an estate plan, you should consult with a legal advisor.