Estate Planning Lawyer Phoenix, AZ
Is it necessary to have an estate plan? If you’re like many people, that’s probably a question you have asked yourself several times. You’re young and don’t exactly have a lot of wealth right now, so you may wonder if you really should establish an estate plan or not. The truth is that estate planning isn’t for the rich anymore. It is beneficial for people of all walks of life. Here are some reasons why you need an estate plan.
Decide Who Will Receive Your Assets
After you are gone, the last thing you want is for your family members to squabble over who receives what assets. If you have an estate plan in place, you can specify who you want to receive what assets. For example, you may want your children to receive your house and your sister to receive your jewelry. Without an estate plan, your estate will be distributed according to the laws in your state.
Appoint Guardian for Minor Children
If you have minor children, you want to ensure that someone you trust will take care of them if you die suddenly. That is another reason why it’s so important to have an estate plan. In this document, you can state who you want to the guardian of your children. Ideally, you will want this person to be financially secure, responsible and good with kids. If you don’t have an estate plan, the state will choose the guardian for your children. While they will likely appoint a close relative, it might not be the person you want looking after your kids.
Another benefit of creating an estate plan is avoiding probate. Probate is a timely and costly process. Your heirs may have to wait months to receive their inheritances. If you establish a trust in your estate plan, your estate won’t have to go through probate court and your heirs can receive their inheritances in a timely fashion.
Plan for Physical or Mental Incapacity
In addition to protecting your assets, an estate plan plans for your future in case you become physically or mentally incapacitated. You can appoint a loved one as your power of attorney so that they can make important legal and financial decisions on your behalf.
Reduce Estate Taxes
Establishing an estate plan also allows you to significantly reduce the taxes on your estate. Otherwise, your loved ones would be left to pay for all of these taxes out of their inheritances.
As you can see, there are many advantages to establishing an estate plan. It is never too early to start planning. Your first step is to schedule a consultation with a reputable estate planning lawyer relies on. They can help you draft an accurate estate plan in a timely fashion and take a lot of stress off your back. Many estate planning attorneys offer free initial consultations, so you have nothing to lose by speaking to one.