Most people forego estate planning processes. It is especially so since they presume their affairs are in order and their families understand their wishes. However, this is not always the case. Below is an article detailing why you should consider estate planning soon.
Inheritance And Property Management
A will is the most vital aspect of your estate plan. The document allows you to bequeath your property to friends and family as you wish. If you die without a will, the courts decide how to distribute your assets. Typically, the property goes to your immediate family and dependents. There is a probability that your wishes will not be respected. For instance, a family member could receive property they cannot manage or assets they have no interest in. Once this happens, there is a probability that they will squander their inheritance.
Who will manage your estate once you die? Your estate plan allows you to choose an executor to file probate and manage property before transferring assets to the beneficiaries. If you do not appoint an executor when alive, you do not have a guarantee that the court-appointed executor will act in the estate's best interests. For instance, they could mismanage assets or engage in corrupt practices.
Preventing Disputes
Suppose you die intestate (without a will); your family members will make assumptions about dividing your property. In most cases, this could cause will disputes. People with an interest in your property could also ask to be enjoined in the court proceedings. The problem with will disputes is that a significant chunk of your estate goes into paying legal charges. Besides, some assets, such as your cars, could get dilapidated if the court takes too long to give a verdict. If you own a business, it could become run down.
Power Of Attorney
A power of attorney enables an individual to make medical and financial decisions for you when you are incapacitated. It is essential since it keeps your affairs in order when you are not physically or mentally fit to manage the estate. The general rule is to consult your wills and estates attorney when drafting a power of attorney. The lawyer ensures the document is concise and does not contain oversights that could make your agent overstep their duties. For instance, if you want to grant someone financial power of attorney, you could detail what they can or cannot do. For example, you could prevent them from managing your business or accessing certain bank accounts.
Contact a company like Neilson Stanton & Parkinson to learn more.
Share18 July 2023
Hello, my name is Jenny and this is my probate law blog. I should say now, I am not a lawyer and I have not had any professional legal training. However, I do know a thing or two about probate. I taught myself a lot after the death of my grandma. My grandma left a lot of money and property behind, but unfortunately, she didn't leave a will. This lead to several family members staking a claim on the inheritance. I instructed a lawyer to act on my mother's behalf to ensure that she was not cheated out of her share.