November 2024 Guest Article
By Wendy Marcus, Attorney & LARSO Board Member
Many people can benefit from having an estate plan in place.
Below are some reasons an estate plan might help you.
Single people: Protect your assets, ensure your assets go to who you want, and don't leave those decisions up to the State.
Married people: Ensure your spouse is taken care of.
Older Adults: If you don't have an estate plan, you are leaving a legal mess for your children to sort through. This process can take years and cost thousands of dollars.
What does each component of an estate plan do and why do I need them?
Will: Upon your death a will can direct everything else that you own to be poured into your trust. This is sometimes called a pour over will. It will also name an executor.
Living Trust: If you have any real estate, retirement accounts, adult children, or are part of a blended family or simply wish to avoid probate, you need a living trust. Probate is the process that an estate has to go through if there is no will or just a will without a trust. It can take years and cost thousands of dollars. A trust can distribute property free of probate and hold property for minors and young adults until they reach a particular age. Trusts are not difficult to create or manage.
Healthcare Power of Attorney: A Power of Attorney allows someone to act as if they were you in the event you become incapacitated. This is sometimes also called a living will or an advanced healthcare directive. Just because you are married does not mean you have the right to make healthcare decisions for each other. Without one of these forms, your entire family gets to weigh in on your care. As you can imagine this causes a great deal of family strife.
Financial Power of Attorney: If you become incapacitated this form allows someone else to make financial decisions for you. This is not merely access to your bank accounts. This form allows someone to do a wide variety of financial activities such as: file your taxes, interact with Social Security and Medicare, make business decisions and many others. Many people believe simply putting people's names on their bank accounts is all they need to do. That will allow access to your bank accounts, but not the other tasks. Social Security and Medicare will not interact with you over someone else, even if you are the spouse, without this form.
If you are interested in learning more about Estate Planning, please join Wendy Marcus at a Lunch & Learn.
Monday, December 16 from 12:15-2pm at Betty Ehart Senior Activity Center (Call 505-662-8920 to sign-up)
Wednesday, December 18 from 12:15-2pm at White Rock Senior Activity Center (Call 505-672-2034 to sign-up)