Starting: Identify estate planning goals
Identifying goals will help you successfully choose the right documents. Create a list of topics to address, such as:- Name guardians for children
- Control distributions of life insurance money and other assets to young beneficiaries and those with special needs
- Maintain a residence for children, their guardians or the spouse of a blended family
- Minimize or avoid probate
- Minimize or avoid estate taxes
- Minimize or avoid an estate being contested
Prepare a list of assets and liabilities
Regardless if you have a living trust or will, the transition of your estate can take longer and have more complication without a list of your assets and debts. This information is not required by an attorney to prepare your documents unless there is a specific titled asset you wish to name in your will or trust.- Assets including (but not limited to)
- Real estate,
- Vehicles
- Bank and retirement accounts
- Life insurance
- Valuable personable items
- Business interests.
- Liabilities including (but not limited to)
Your beneficiaries are not responsible for your personal debts. However, failure to repay debts prior to distribution to beneficiaries can cause difficulties.
- Mortgages
- Auto loans
- Student loans
- Personal loans
- Credit cards.
- Contact information for
- People making medical decisions
- People making financial decisions
- Guardians for dependents
- Beneficiaries of your estate.
Creating documents
Attorneys are not required to prepare wills and trusts. You may find yourself more at ease using an attorney. Lawyers can help discover needs to address and reduce the likelihood of unclear legal language. Learn more. Use our free directory. Interview affordable attorneys in your area. If an attorney is not listed in your area, ask family, friends and insurance/financial advisors for referrals. Creating documents yourself? If cost prevents you from using an attorney, we hope this site helps you avoid common mistakes and problems that can occur when proceeding on your own. Make sure you read all instructions and utlitize any support offered by your preparer. Learn more.Finishing: Estate planning is an ongoing process
Researching and identifying goals is a great first step but understand there is no final step. Your plan will always need review and periodic updating. Needs typically change over time and few can afford to address everything all at once. This site can not stress that point enough.
Whether you have a will or living trust, make you sure you maintain a current list of assets and liabilities. This will speed the job for both a probate proceeding and your successor trustees.
Review every few years your beneficiaries both in your plan and on life insurance, annuities, retirement accounts and any other asset listing beneficiaries.
Talk to your insurance advisor every few years about life insurance, long term care insurance and disability insurance. While you may not need some or any of those types, it's wise to understand the basics for the future.
Many types of insurance are unavailable or cost-prohibitive once you are diagnosed with an illness or reach a certain age.
Lastly, if you have a living trust it imperative every few years to check that assets intended to be in the living trust are actually in titled in the name of the living trust. Many people forget to fund their trust once documents are signed, leaving assets subject to probate even though they have a living trust.
