Estate planning is vital so that all of your assets are managed and taxes and court costs reduced during your lifetime and upon or after your death. The good news is you do not need to be sick or dying to start estate planning. In fact, many people initiate the process at a relatively young age. For effective estate planning, it is essential to take an account of your assets and have a reliable estimate of their value. You will then delegate who is to receive them and determine the timing of those distributions to your beneficiaries.
Estate planning is not only important for people with great wealth, it is also vital to individuals with smaller estates, although different tools may be used depending on the specific circumstances. For example, an individual in California with a child who has an estate worth less than $150,000 may benefit most from a last will and testament and durable power of attorney, rather than a living trust. On the other hand, if the individual owns real estate, a business, stocks and bonds, bank accounts, cars, furniture, or other assets totaling more than $150,000, a living trust is typically preferable over a will.
Estate planning can be extremely beneficial. The right estate planning can aid in avoiding the stressful probate process for your beneficiaries, managing your assets well beyond your death, protecting your beneficiaries against creditor’s claims, and decreasing tax liability—just to name a few. It can also provide you with peace of mind knowing you will be cared for throughout your life, and your valuables will be distributed to the loved ones of your choice.
When you are interested in setting up a trust as part of your estate planning strategy, it is important to consult with a knowledgeable estate planning attorney. This type of professional specializes in advising clients and preparing estate planning documents to ensure you are legally protected. At our law firm, you will speak directly to an attorney who knows how to help you protect your assets now and into the future. We respond to your needs and work diligently to create the best estate plan for your particular needs.