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Understanding estate planning

A lot of people plan for their lives; the right businesses to invest in, the right wife to get married to and the rig ...

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Understanding estate planning
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A lot of people plan for their lives; the right businesses to invest in, the right wife to get married to and the right number of kids to have. They have everything figured out. What most people forget to plan is their death. We are humans and it is a harsh reality that death is inevitable. Having planned your life and amassed wealth, have you planned the future? Like what would happen to your property once you pass away, how you want your property shared among your family and loved ones. If you haven’t, then you definitely need to.

 

What is estate planning?

Estate planning is the process of making a plan for all your properties in advance and naming beneficiaries i.e. individuals you want to receive these properties when you die. 

Contrary to what you might think, everyone owns an estate. Your estate comprises of every single thing you own; car, house, business, another real estate, personal possessions no matter how little, and what is glaring is that you cannot take any of these properties with you when you die. This is why it is very important that proper estate planning should be conducted to help you share these properties

A lot of individuals put off estate planning because they think they are not old enough or do not own enough and believe that they have plenty of time to amass more properties while some other individuals actually want to plan an estate but do not know who can help them with it. The good news is that we have trusted attorneys on the Avocat app that can help you get started on your estate planning.


Who should do estate planning?

Estate planning is for everyone. It is not just for the wealthy.  If you own any sort of property; a car, a house, a bank account or are into real estate, you should consider planning your estate. Unfortunately, No one can predict how long they can live; accidents and illnesses can happen to anyone irrespective of age. Planning your estate on time is the only way you are certain that your properties are given to the beneficiaries you selected.


What happens if you do not plan your estate?

What a lot of people are unaware of is the fact that if you do not plan your estate, your state already has a plan for you. 

  • At disability

If you can no longer conduct your business due to being incapable, whether mentally or physically, a court appointee would be placed in charge of signatures for all your businesses, not your family. The court, not your family would be the ones in charge of how your assets are controlled. The court would also determine how your asset would be used to take care of you. 

  • At death

If you die without conducting a proper estate plan. Your assets would be distributed according to the probate laws applicable in your state. This means that if you and your spouse pass away, maybe through an accident leaving your minor children behind. The state would determine who becomes the legal guardian of your children without putting into consideration who you would have preferred for them. Also, If you leave a wife and children behind, be rest assured that the state would share assets how they deem fit without considering if it would be enough for their upkeep or not.

If you are given a choice, what would you prefer? Wouldn’t you prefer to have your properties shared among beneficiaries you have chosen? Wouldn’t you prefer that these matters are conducted privately without the interference of the court? Wouldn’t you prefer to have a say on the choice of guardian for your children on your demise? Having an estate plan can help you avert these disadvantages. 


Advantages of estate planning

As you must have already deciphered by now, there are numerous advantages associated with estate planning. They are;

  • Having a clear estate plan could help you avoid probate. On your demise, your family is able to share your assets, how you want them to be shared and without the interference of the law.
  • Estate planning will help you organize your records and also most importantly help you correct titles and beneficiary designations.
  • Having a clear plan gives you peace of mind. You rest assured that your family is protected. This is the most thoughtful thing to do for your family and your loved ones.

Things you should know about estate planning

  • It is very important that you solicit the help of experienced attorneys to get your estate planning done. Our attorneys at the Avocat app are certain to help you avoid probate by providing you with every professional aid needed to start planning your estate.
  • The best time to plan for your estate is now. No one likes to think about mortality and as a result of this, a lot of families do not plan on time. We see a lot of them getting caught off guard and having to rely on the state to share assets.
  • Estate planning does not have to be very expensive. If you think you cannot afford a detailed or complex estate plan now, you can start with what you can afford. If you are a young family of single adults, you can start with the basics such as; wills, powers of attorneys for your assets, health care decisions, and life insurance. With time, as your financial situation begins to change for the better, you can let your planning develop and expand.
  • Estate planning begins with a will or a living trust. Contact any of the lawyers on the Avocat app to help you craft a professional living trust or will.


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