Estate Planning
Estate (noun)
an extensive area of land in the country, usually with a large house, owned by one person, family, or organization.
all the money and property owned by a particular person, especially at death.
It’s never to early too start planning for your estate because tomorrow is not promised for anyone. Estate planning is imperative to securing generational wealth because it’s the process of securely transferring your assets and belongings to your heirs or loved ones. Your estate is everything that you own like money, cars, real estate, jewelry, collectibles, and anything else you value. Estate planning is the actual process of listing out in a will or a living trust who you want to receive your assets and belongings after you pass away.
Items you want to address in your will include:
Money
The values and traditions you want your heirs to uphold
Name guardians for your kids
Include instructions for your medical care if you become disabled before you pass away
Instructions or conditions for when and how heirs can receive your money and assets
Information such as account numbers and instructions for life insurance policies, long-term care and disability insurance
Legal instructions to minimize taxes, court costs, and unnecessary legal fees
Estate planning is not a one time thing, but rather it is an ongoing process that evolves as your life and family evolves. Your plan should be reviewed annually, at a minimum, even if you are not making changes. Planning for the inevitable does not have to be a negative or scary thing. It’s actually a blessing to be able to transfer wealth to the next generation and leave a legacy.
Will
expressing the future tense.
expressing inevitable events
A will provides your instructions on what to do with your assets and belongings once you pass away. Any assets titled in your name or in your will must go through your state’s probate process before they can be distributed to your heirs. If there is not a will in place this process can be extremely frustrating for families and can lead to legal action if your assets and belongings go to the next of kin or a spouse that it was not intended for, per your wishes.
The probate process can be stressful and tedious depending on what state you live in, but you can alleviate some of the stress by properly preparing a will. The probate process can become expensive with legal fees, executor fees, and court costs. The probate process can take six months to a few years to complete, depending on the size of the estate.
It’s never too early to prepare a will because tomorrow is not promised for anyone.