Estate Planning Checklist

Estate Planning goes hand in hand with Asset Protection and are often addressed together. While Asset Protection is primarily concerned with protecting your assets from creditors and predators while you are alive, Estate Planning is primarily concerned with planning how your estate will pass at your death. To understand the most important considerations when thinking about your estate plan, we have created a checklist for our clients to follow:

Considerations:

1. Define Your Objectives:

   • Determine your goals for estate planning, such as asset distribution, tax minimization, and providing for your loved ones.

2. Inventory Your Assets:

   • List all your assets, including real estate, bank accounts, investments, retirement accounts, life insurance, and personal belongings.

3. Choose Beneficiaries:

   • Decide who will inherit your assets and in what proportions.

4. Select an Executor or Trustee:

   • Appoint someone you trust to carry out your wishes and manage your estate (executor for a will or trustee for a trust).

5. Guardianship for Minor Children:

   • If you have minor children, name a guardian who will care for them if you pass away.

6. Consider Tax Implications:

   • Assess potential estate taxes and strategies to minimize them.

7. Healthcare and End-of-Life Decisions:

   • Prepare advance healthcare directives, such as a living will and a healthcare proxy, to outline your medical preferences.

8. Organ Donation:

   • State your wishes regarding organ donation, if applicable.

9. Digital Assets:

   • Account for your digital assets, including online accounts, social media, and cryptocurrencies.

10. Charitable Giving:

    • Decide if you want to leave a portion of your estate to charitable organizations.

Recommended Tools:

1. Last Will and Testament:

   • Draft a legally valid will to specify how your assets should be distributed and appoint an executor.

2. Revocable Living Trust:

   • Consider creating a trust to avoid probate, maintain privacy, and provide detailed instructions for asset distribution.

3. Power of Attorney:

   • Appoint an agent to manage your financial affairs in case you become incapacitated.

4. Healthcare Proxy and Living Will:

   • Prepare healthcare directives to ensure your medical preferences are followed.

5. Beneficiary Designations:

   • Review and update beneficiary designations for retirement accounts, life insurance, and other assets.

6. Letter of Intent:

   • Write a letter detailing your wishes, instructions, and personal messages to your loved ones.

7. Guardianship Designation:

   • Nominate a guardian for your minor children in your will or a separate document.

8. Durable Power of Attorney for Finances:

   • Appoint someone to handle your financial matters if you become unable to do so.

9. Estate Planning Attorney:

   • Consult with an experienced attorney to ensure your estate plan complies with state laws and meets your objectives.

10. Regular Review:

    • Periodically review and update your estate plan, especially after significant life events like marriage, divorce, birth of children, or changes in your financial situation.

11. Life Insurance:

    • Evaluate whether life insurance is needed to cover outstanding debts or provide for your family's financial needs.

12. Long-Term Care Planning:

    • Consider long-term care insurance or other strategies to cover potential healthcare costs in the future.

13. Tax Planning Strategies:

    • Consult with a tax professional to implement tax-efficient strategies within your estate plan.

Remember that estate planning is a complex and individualized process, and it's essential to consult with legal and financial professionals to create a plan tailored to your specific circumstances and goals.