Estate planning is the process of arranging and anticipating
for the estate’s disposal during a life of a person. It helps to eliminate the
uncertainties over the administration of a probate and it helps to minimize the
estate’s value by reducing the taxes and other such expenses. The ultimate goal
of the estate plan however is determined by the client’s specific goal and it
can be simple or complex as the needs of the client dictate. For the minor
beneficiaries and minor children, the guardians are often designated for their
incapacity. To some degree, it overlaps with the elder law. In addition, it
includes other provision as long-term care.
Estate planning involves trusts, will, powers of
appointment, beneficiary designations, power of attorney, and gift and property
ownership, specifically the durable medical power of attorney and durable
financial power of attorney. Here, are some of the benefits of Estate Planning.
1. Peace of Mind: Everybody knows that death will come to
everybody. Death is certain yet it is uncertain. There are some people who
worry that what will happen to their properties once they expire. They think
that will their loved ones will be able to inherit their property after their
death or not. If planning is done beforehand then it gives a peace of mind. The
person knows that his/her property will go to the designated heirs when they
pass away. The person can also specify in his/her will that how much each of
his/her heir will receive after his/her death and they also decide that through
which mode they will receive their asset.
2. Providing for Loved Ones with Special Needs: Another
great concern for a person is if they have a family member or relative is
either mentally or physically disabled. If a will is in place, then one can be
assured that the family member or the relative who needs special needs will be
provided with such needs after his/her death.
3. Helps Heirs With Inheritance: There may be some heirs who
are inexperienced when it comes to managing their inheritance. If such is the
case then the inheritance may not be long-lasting and it might be spent on
impractical things. By doing the planning beforehand, a person will be able to
specify that what the inexperienced heirs should do with the assets which they
have inherited to make sure that it is used for getting important things like
good education, a nice house, making wise investments and others.
4. Protecting Children: Another great benefit of estate
planning is that the person is able to protect the inheritance of his/her
children in the event that his surviving spouse gets remarried after his death
with someone who has children. If the will is planned carefully then the
inheritance of the children is protected while the surviving spouse is still
provided for. By doing this, the worry factor about the children or
stepchildren from a later marriage claiming the part of the estate is been
eliminated.
5. Minimizing or Avoiding Estate Taxes: Estate planning is
not only about putting a will together but it also mean to secure one’s asset
to make sure that his/her inheritor is able to get it in the most tax-effective
way. A well-drafted estate plan or will can minimize or avoid various taxes if
it is done with an expert estate planning lawyer.
I think the fourth reason you list is the most important. People don't tend to think about estate planning, but it can make a huge difference. The main reason people should get it done is because it helps your kids after you're gone. Anything that makes your passing easier on them should be done. http://integralaw.ca
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