Many people hear about estate planning and assume that they need to have access to large investments, mansions, and financial wealth to put such a plan together. However, estate plans are effective tools for Texas residents no matter how much personal wealth they have accrued. Knowing why an estate plan is important can help you understand the need of putting one together today.
Estate plans are more than just a will
Your estate plan contains more than a list of which loved ones you to whom you want to leave certain assets. There is a great deal of personal information addressed in an estate plan. For example, part of your estate plan includes who you want to make medical decisions on your behalf should you become incapacitated, meaning that your estate plan can have a direct impact on your own life.
Saving time and money
An estate plan can save time and money for your beneficiaries who have to go through the lengthy and expensive probate process if you do not have a written estate plan in place. Failure to create an estate plan means that the state will seize control of your estate after your death and that your heirs will receive nothing until the probate process is complete. To make matters even worse, the funds in your estate may be used to pay for legal fees once the probate process is complete.
Providing care for your children
If you and your spouse both die without an estate plan in place, the custody of your children may be in jeopardy. An estate plan allows you to name a guardian who will immediately be responsible for your children if you and your spouse are both deceased or incapacitated.
All estate planning should involve the advice of an attorney who knows your state’s estate planning and probate laws. This attorney can ensure that all of your documents meet legal requirements and your wishes are met.