If you have yet to put an estate plan in place, you are far from alone. According to recent estimates, only 26 percent of U.S. adults have an estate plan—even though more than two-thirds of people recognize that estate planning is important. There are many reasons why someone would put off this task, such as the mistaken assumption that estate planning is only for those with a considerable variety of assets or the simple reality that working on an estate plan seems daunting or intimidating. However, anyone can benefit from putting a basic estate plan in place. Younger parents can rest assured that their children will be looked after and cared for by a trusted guardian in the event of an unexpected tragedy, and people of any age can feel confident that their vision for the future will be respected when the time comes. Although there are several online resources for estate planning, these documents tend to be overly generic, vague, or even ambiguous, which can leave you and your family vulnerable in the event of an unanticipated loss. As you begin to explore your estate planning options in Michigan, enlisting the support of a knowledgeable and caring attorney can give you the guidance you need to make informed decisions with greater certainty and confidence. Let’s take a closer look at some of the essential estate planning documents you may want to consider as you begin to prepare for a bright and stable future.
What to Consider When Estate Planning in Michigan
At first, the prospect of sitting down to create an estate plan may seem slightly daunting. However, when you take a bit of time to focus on how to prepare your estate for when you pass, you can move forward with a greater sense of confidence. Before you even meet with your estate planning lawyer, it’s helpful to set a few goals to guide the upcoming planning process. For example, you might want to focus on preserving valuable real estate assets and ensuring that your beneficiaries are able to enjoy them once you are no longer here. Or, you may want to allocate some of your estate to support a charitable organization of your choice. Parents of young children can approach the estate planning process with a primary goal of protecting your loved ones in the event of your incapacitation or passing. No matter what your specific estate planning goals may be, you can trust that your dedicated and empathetic estate planning professional will identify the most strategic tools to help support and realize your vision.
Estate Planning Steps to Consider When Seeking to Safeguard Your Legacy
Once you have articulated some of your primary estate planning goals, you can focus on how to plan for estate planning when you meet with a trusted legal advisor. It’s helpful to gather documents that indicate the size and scope of your estate so that you and your estate planning attorney can determine which tools and strategies will best suit your needs. For instance, you should put together an organized file of your bank statements, property titles and valuations, vehicle information, investment portfolios, and any other income-generating assets. Additionally, it’s important to include any debt obligations, such as outstanding credit card balances, vehicle payments, or mortgages. Having a clear picture of your financial resources will help to guide your estate planning decisions so that you can create a personalized plan that aligns with your needs and goals. From there, you can move forward with the next steps of the estate planning process—designating beneficiaries, appointing trustees, and more.
Designating Your Beneficiaries
One of the most important steps in the estate planning process is creating a last will and testament that designates your beneficiaries. Essentially, beneficiaries are the individuals to whom you would like to bestow your assets once you pass away. For example, you may want to ensure that your spouse and children receive specific assets that you know they will appreciate and value. You can customize your estate plan according to your vision, and putting your wishes into writing will minimize potential conflicts or contentious legal battles among your loved ones once you are no longer here.
Appoint Someone to Serve as the Personal Representative
The last will and testament may also include the name of the trusted individual you wish to serve as the personal representative overseeing the administration of your estate when the time comes. The personal representative will oversee the probate process, so it’s important to select someone you trust to safeguard your best interests and uphold the integrity of this legal process. If you and your estate planning attorney find that establishing a trust is appropriate, you will be asked to select a successor trustee to serve in a similar capacity. Since trusts are not subject to probate, the successor trustee will administer the estate according to the rules and procedures that accompany the trust.
Selecting Guardians for Your Minor Children
As a parent, you want to trust that your children will be protected and kept safe no matter what the future may hold. Your dedicated estate planning attorney will work with you to implement protections for your children in the event of your sudden incapacity or death. For instance, you can designate a trusted individual to step in and assume guardianship of your children in the event that this becomes necessary. Moreover, if you have a child with special needs, your estate planning lawyer can help you explore strategies that ensure the financial stability of your loved one so that they will continue to receive the care and support they need.
Learn More About Effective Estate Planning Today
It’s never too early to start planning for the future. If you are interested in learning more about what to consider when estate planning, consider enlisting the guidance of a knowledgeable and caring attorney who can help you sort through your options and establish a secure foundation. Together, you can put the necessary legal protections and tools in place to keep your future, and that of your loved ones, as bright as possible.
If you are ready to start exploring your estate planning options in the greater Ann Arbor area, the dedicated and caring legal team at Warren & Schairbaum, PLLC, is here to provide you with the customized guidance you deserve. Please call our office today at (734) 769-9300 to get started with a trusted Michigan estate planning attorney.