Build Estate Planning Checklist And Get Prepared
Benefits of having a checklist for estate planning
Estate planning is putting in place structures to protect and provide for your loved ones after your death. The planning is an instruction manual, setting up your financial goals before and after your death. Having a plan can greatly affect your life, both now and in your retirement years. It can also make a big difference in the future of your spouse, children, and other dependants. When creating a checklist for estate planning, it is important to have good, comprehensive records.
You can save
time and money, eventually
Those who keep good records will have a very easy time when it comes to
planning. It helps to save time as well as legal expenses. It is
important to begin proper record- keeping practices early in
life. Before setting up a meeting with an attorney, it is
important to organize all the information needed to give the complete
picture, and to reflect your wishes accurately. Determine your current
earnings as well as an estimate of your social security benefits.
The estate attorney will require information such as the accounts held,
including checking, savings, and retirement and investment accounts.
The name and location of the institutions where the accounts are held
is required. You need to note the outstanding loans as well as
purchases that are on credit. An estimate of the value of businesses
and property will be useful. This includes property like special
collections, art, and other rare or unique possessions.
A checklist for estate planning can serve as a point of reference when
gathering all the information required. Additional information may be
required along the way, but the common requirements include;
• A list of assets and liabilities,
including amounts due and payment dates.
• Information on other assets not
including cash or securities. Real estate, cars, boats and other
valuable assets.
• Copies of important documents such as
deeds for real estate property.
• The names and ages of everyone named as
beneficiaries.
• Copies of any other will that might be
in existence.
• Copies of divorce or annulment
documents, if applicable, as well as those relating to adoptions.
• Current balances and company
projections of all employees benefit plan entitlements and individual
retirement accounts.
• Copies of gift tax forms that may have
been previously filed.
• A clear outline of how the property
will be distributed.
When coming up with an estate plan, it is important to include
contingency plans to be followed in different situations such as, a
situation where your spouse, children or other dependent's predecease
you. You should have a plan that will cover the children’s interests if
you and your spouse die at the same time. You need to decide the age at
which the children can have unrestricted access to the property, and
who their legal guardian will be, along with details about guardianship
rule of minors. You need to designate someone you can
trust, to make sure the children’s needs are met.
When creating a checklist for estate planning, you should include a
list of any charitable organizations that you intend to mention in your
will. Indicate how much or what you intend to leave to them. You should
make a note of the planned recipients who you intend to inform about
your intentions. Have a specific list been stating the items of
property that you want particular people to have? This is a very
important step which can help to avoid potential problems.
It is often helpful to discuss financial issues as well as your
decision about the estate with your family. When people know what to
expect when you are still alive, it reduces the friction once you are
gone. Your intentions should be clearly stated in the documents to
prevent legal loopholes and future misunderstanding.