Estate planning is essential for protecting the future of your loved ones. Often, people believe that it is only for the wealthy or the elderly. However, this is untrue. It is the process of planning how your assets will be distributed after your demise, and everyone should have a proper plan to ensure that their family does not suffer financially after their death.
It is advised to seek the legal assistance of a Cherry Hill elder care law firm lawyer to have an effective plan. Their presence allows you to have a smooth procedure and understand the pertinent laws to make the right decisions.
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Some components of estate planning.
Estate planning comprises several elements that enable you to efficiently look after your family’s needs.
Wills.
The will is a legal declaration that states your wishes regarding the distribution of your estate after death. You can also make provisions for minor children’s guardianship. It also helps reduce the tax burden on your beneficiaries after they receive the assets. A lawyer ensures that you go through the proper procedure required while creating a will to prevent it from being disputed in court.
Trusts.
Trustors transfer the rights of the asset to another party, the trustee, to hold it for the benefit of their beneficiary. Trustors often use trusts to maintain privacy and prevent probate court handling the assets. There are several types of trusts, and your lawyer assesses your situation and helps you choose the right one.
Power of attorney.
It is a legal document that allows you to give a person the authority to make decisions on your behalf regarding specific matters such as finances. A durable power of attorney enables the person to manage your affairs even if you become incapacitated. A healthcare power of attorney gives them the right to make decisions regarding your medical issues when you cannot do so yourself.
Beneficiaries.
Choosing who you want your assets to be passed down to is necessary. If you fail to select the beneficiaries, the court will decide on your behalf, and that could negatively impact the future of your loved ones.
Without an estate plan, your state’s intestate laws apply, and your assets are distributed according to the judge’s rulings instead of your wishes. A Cherry Hill lawyer understands your concerns about your family’s future and ensures that your plan protects them.