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BusinessFamily Champion
Tips to Help Your Enterprise and
Family Succeed
Plan Your
Estate, or the
State Will Do It
For You
There are
certain things
that you must do
to take care of
yourself and
your family. One
such
responsibility
is planning for
what will happen
to your assets
when you die.
While it may be
something most
people don't
like to dwell
on, everyone
needs an estate
plan. An estate
plan is a
blueprint for
making your
assets last over
your lifetime,
as well as for
making sure that
whatever is left
passes along
according to
your wishes, and
in a way that
leaves more to
your family and
less to Uncle
Sam.
If you die
without a will,
or "intestate,"
the division and
distribution of
your estate is
governed by your
state's law of
descent and
distribution,
which means that
the state
decides what
happens to your
property. The
chance that the
state's mandate
matches what you
would do is
slim.
For example,
state law
usually does not
recognize the
different needs
of your children
nor their stage
in life. Most
families have
children with
unequal needs,
capabilities and
requirements for
care based on
their age,
health,
education and
growth. This is
particularly
true in blended
families.
If you have
minor or
disabled
children, do you
really want the
probate judge
appointing their
guardian?
Chances are you
have definite
ideas about who
you would like
to raise your
children if you
can't do it. But
that won't
happen unless
you make your
choice known in
a legally
binding
document.
However, estate
planning
encompasses much
more than a
will. You should
also consider a
durable
financial power
of attorney and
medical power of
attorney. In the
event that you
become
incapacitated,
either mentally
or physically,
these documents
authorize
someone you
trust, such as
your spouse or
adult child, to
act on your
behalf.
You may also
want to consider
a living will, a
document that
says you want
the right to die
a natural death
free of all
costly,
extraordinary
efforts to
maintain your
life when it can
only be
sustained by
artificial
means. It makes
such decisions
easier on the
doctor, the
hospital and
your family.
Used in
conjunction with
a medical power
of attorney,
this tool can
spare your
family a
painful,
drawn-out and
costly process.
It may all sound
overwhelming at
first, but there
are many
professionals
trained and
qualified to
help you make
your estate
planning
effective. Check
with your state
or local bar
association for
a local
Certified Estate
Planning
attorney, or try
the state CPA
association. The
National
Association of
Estate Planners
and Councils (NAEPC)
offers a list of
members who have
earned the
special
designation AEP
(Accredited
Estate Planner).
Estate planning
is appropriate
at any stage of
life -- if you
don't prepare
for the
inevitable, you
may create
needless
heartache and
loss for those
left behind.
Your estate plan
should allow you
to give what you
want to whom you
want to receive
it, the way you
want them to
receive it and
when you want
them to receive
it. Your estate
plan should save
every tax
dollar,
professional fee
and court cost
that is legally
possible to
save. Use good
estate planners
to ensure things
work the way you
want.
For more
information on
the National
Association of
Estate Planners
and Councils, or
to find an
Accredited
Estate Planner (AEP)
near you, visit
www.naepc.org
or call NAEPC
toll-free at
(866) 226-2224
for suggestions.
Courtesy of
ARA Content
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