Even if you do nothing, you have an estate plan, just not a very good one. According to one author, over half of the adult population as opted for this approach and done nothing. By not creating your own plan you simply force the legal system to distribute your wealth. Every state has statutes on how to distribute property when a person dies “intestate.” This is the technical term for dying without a will.
The question then, is not whether you will have an estate plan, but whether you will have a cost effective estate plan of your own selection, or a costly estate plan imposed upon you by law.
So what kind of estate planning documents should you put into place?
An individual’s wishes are most frequently drafted in the form of a will. You can also outline your desires in a trust. During the interview process, the first few questions in the online interview determine which documents are appropriate given your unique circumstances. You will fall into one of three general categories - estate plan built around a revocable living trust, estate plan built around a simple will, or an estate plan built around Powers of Attorney.
Proper estate planning allows you to:
In addition to their core document, every will or trust plan will include: financial power of attorney (“POA”), healthcare power of attorney, healthcare directives, and a HIPAA release form. The first few questions in the online interview, the attorney assigned to your estate plan determines the type of documents that are required.