When it’s time to make your estate plan, you’ll likely feel a bit confused and overwhelmed about everything you have to include. However, you realize that making your estate plan now benefits your family in the future. That’s not all, your will could help you in a life-endangering event.
Most estate plans involve similar documents and decisions. Here’s what you may need to consider:
Drafting a will
The first thing you’ll likely consider making is a will. A will includes what assets you want to give to beneficiaries. You’ll have to have the right wordage and two witness signatures to validate a will, otherwise, there could be a family dispute over its authenticity.
An executor of the estate
Along with naming beneficiaries, you can name an executor of your estate in your will. Your executor will handle many aspects of caring for and protecting your assets as it goes through probate. Your executor will likely have to gather many legal documents and pay off certain debts until your assets are distributed to your heirs.
Power of attorney
Most wills include a power of attorney. A power of attorney handles many matters on your behalf if you’re incapacitated. There are two types of power of attorney: financial and medical.
A financial power of attorney can pay off debts, rent and utilities and may even make purchases. A medical power of attorney will decide on any surgeries, medication or operations you would have to go through. Many people assign one person as a general power of attorney to handle both financial and medical decisions.
Making your estate plan likely won’t be easy the first time. You may need to reach out for legal help when planning your estate.