Estate Planning Tips for the New Year
Happy New Year! Here at Ogborne Law, we love this time of the year. It’s a perfect time to reflect on the past year and the ideal time to set ambitions for the next year. Did you reach the goals you set for yourself last December? Even though healthy living is usually top of most people’s resolutions, maybe you should add some estate planning New Year’s resolution, additionally.
Six Estate Planning Resolutions for 2024
The following are six estate planning resolutions for 2024. Your life, and your estate planning lawyer may come up with others.
Resolution 1: Make a Living Will
A living will is an important part of your estate plan, but not everyone takes the time to create one. It’s understood that thinking about end-of-life circumstances is not an enjoyable experience. Nevertheless, it is vital to make sure your loved ones are going to follow your decisions at the right time. A living will communicates your wishes and provides your loved ones with peace of mind to know they are doing what you wish.
Resolution 2: Create a Power of Attorney (POA)
The new year is a perfect time to think about who you would wish to make your POA and create it for your estate. If something happens during your lifetime that inhibits you from making decisions on your own the person you appoint with your power of attorney can step in and make decisions on your behalf. This person is legally obligated to make financial, health care, and other estate decisions for you.
Resolution 3: Review Your Assets and Beneficiaries
Another ideal estate planning resolution for 2024 is to reassess your present list of assets and beneficiaries. Do you need the addition of any newborn children or grandchildren as your beneficiaries? Have you bought or sold any assets such as a business, home, or vehicle(s)? Having this information current in your estate plan is vital.
Resolution 4: Organize Your Digital Information
Presently people manage just about all of their financial transactions using websites and apps. Most likely you do not have all your different usernames and passwords gathered in one safe place. Taking down and securing your passwords could be very vital should something happen to you and those managing your estate require that information. A knowledgeable estate planning lawyer can offer tips and guidance on how and where to safely keep that sensitive and personal information.
Resolution 5: Go Over Your Estate Plan with Your Loved Ones
The best way to discover if your estate plan is complete is to go over it with your loved ones. Examine each factor of your estate plan with your beneficiaries and POA to guarantee everything is there and they fully comprehend how it is all going to work. These talks also give them the opportunity to create a list of questions for your estate planning lawyer to answer.
Resolution 6: Make an Estate Plan If You Don’t Already Have One
If you have not created your estate plan yet, the new year is the ideal time to create one. An estate plan is going to take a complete listing of all your assets, finances, medical priorities, and retirement details. Creating a tailor-made estate plan and making it completely accessible to your power of attorney and/or beneficiaries is going to guarantee that your wishes are fulfilled when the time is right.
Preparing for a New Year: What Are Your Estate Planning Goals?
If you are starting, reviewing, or reassessing your estate plan, contacting an estate planning lawyer might be the initial step you must take to start off on a successful course.
As reported by an article in Psychology Today, New Year’s Resolutions typically fail because people’s objectives are vague or because they feel overcome or unencouraged. Taking the initial step of reaching out to an estate planning lawyer can provide you with the confidence and information you require to set realistic goals and detail the ways you plan to reach them.
Common Estate Planning Goals
Estate planning serves a lot of purposes, and each individual or family’s goals should be based on their personal preferences, financial circumstances, and other aspects. If you make estate planning your resolution for the upcoming year your specific goals might include the following:
- Safeguarding and managing assets for the rest of your life;
- Providing for loved ones and appointing heirs;
- Appointing of guardians of dependents or children;
- Minimizing tax strains;
- Planning for the future management of real property;
- Streamlining the probate process or avoiding probate totally;
- Establishing a charitable providing plan;
- Naming beneficiaries, executors, trustees, POA, etc.;
- Preparing for the succession of a business;
- Integrating life insurance into long-term planning;
- Caring for your needs and your spouse’s well-being in the case of disability or debilitation; and
- Detailing your wishes for final arrangements.
After you have outlined your specific goals, an estate planning lawyer can help you in identifying the appropriate legal documents, financial means, and steps to take to safeguard your assets and plan for your future.
Reviewing And Updating Estate Plans Annually
Usually its a good idea to go over your estate plan if haven’t gone over it in a while. Life is full of changes and you estate plan should reflect how your life have changed.
Is your estate plan more than five years old?
It’s wise to examine your plan with an estate planning lawyer every 3-5 years—even when you don’t believe it needs to be updated. Tax and estate planning laws changes can impact an estate plan.
Additionally, your estate planning objectives and needs evolve as you age. For instance, planning for long-term care might not be on your mind when you’re in your thirties, but it may be a significant goal in your sixties.
Other reasoning to make estate plan modifications include wishing to provide for a person not named in your present estate plan or changing your heart about serving in different roles. How frequent you update your estate plan is subject to your situation, but a yearly review guarantees that your plan is always current.
It Is Wise to Seek Professional Guidance
Most people need guidance when creating an estate plan. Keep reading for more information.
Do You Actually Need an Estate Plan?
Yes, everyone does. Even when you don’t have that many possessions and think you have a somewhat simple situation, planning for unexpected events now can save your loved ones a lot of headaches later and ease the burden on them throughout what is going to be an already difficult time.
Furthermore, creating an estate plan can put your own mind at ease, knowing your affairs are going to be handled in accordance with your wishes.
Consult Professionals For Trust & Estate Planning
While trusts offer a lot of advantages, it’s vital to understand your options. Using trusts involves a complicated web of tax rules and guidelines, and there are up-front expenses and ongoing managerial fees to think about. No matter what stage in life you are at, you should seek the guidance of a knowledgeable estate planning lawyer, in addition to your legal, financial, and tax advisors, to be sure that your tactics are in alignment with your objectives.
Benefits of an Estate Planning Lawyer
An estate planning lawyer can assist you in creating tactics to protect your assets from potential risks like creditors, taxes, or lawsuits. They can help you create trusts, devise wills, and create other legal instruments that can safeguard your assets from mismanagement or unneeded expenditures.
Moreover, an estate planning lawyer can help you name beneficiaries for your assets, like life insurance policies, and retirement and investment accounts. This will guarantee that your assets are allocated to the intended beneficiaries devoid of delays or complications. They can additionally guide how to decrease estate taxes and other financial obligations, guaranteeing that your loved ones receive the utmost benefit from your estate.
Arizona Family Law
Naming guardians in your will can be part of your estate plan. You may think you’re too young or don’t have enough money to justify the expense, but if you have children, you have priceless assets. There are many considerations when naming guardians for your kids. However, the process doesn’t have to be expensive or complicated.
There’s nothing better than the peace of mind you will have knowing you’ve protected your family at a time when they need it most. Let us help. Schedule a consultation or contact Ogborne Law, PLC of Arizona today.
