Components of a Comprehensive Estate Plan

A Comprehensive Estate Plan

When many consider planning for the future, most people are aware that they should have a will. However, often more documents should comprise a person’s estate. An estate plan is comprised of several key documents that include:

  • Letter of Intent
  • A Will
  • Beneficiary Designations
  • Durable Power of Attorney
  • Healthcare Power of Attorney
  • Guardianship Designations
  • Designation of an Estate Executor

Having an estate plan offers peace of mind for you and your loved ones as they will have a clear picture of what comes next. However, it’s important to note that once an estate plan is created, you must update it over time because they are living, breathing documents. Our Arlington Heights, IL estate planning lawyer can help ensure that an estate plan is updated every 3-5 years or when notable changes occur, such as relationship changes, the birth of children, a change of assets or liabilities. 

Reasons to Communicate Your Plans

When putting together an estate plan, you will be faced with making many vital decisions over your affairs. These decisions will involve assets, liabilities, guardianship over children, financial and healthcare power of attorney, etc. Once the estate plan has been drafted, the natural next step will be to communicate some of the details with family members and those involved when the time comes. While they don’t need to know every minute detail in the estate plan, there should be communication regarding the basic information of the plan. By meeting with family and allowing them to hear your wishes and reasoning for the decisions that have been made, it’s possible to reduce family conflict significantly. When a person passes away or becomes incapacitated, loved ones may not see eye to eye as they may have differing views over what your wishes would have been. Talking with family about the estate plan and allowing them to ask questions can help for the smoothest process possible. 

Proper Preparation for the First Meeting

While many people put off the estate planning process, it’s a necessary step towards planning for the future and should be prioritized. The process doesn’t have to be as complex as it may initially appear when you retain an experienced lawyer. However, for estate planning to be done succinctly and efficiently, it’s helpful to prepare for the first meeting properly. Prepare a list of questions for your attorney beforehand, as well as important information such as the names and ages of beneficiaries. Come prepared with financial information such as retirement accounts, bank accounts, pension plans, investments, life insurance information, and a listing of personal property as well. 

Contact Our Estate Planning Lawyer Today

Estate planning, including naming an executor for your will, is a complicated process that relies on knowledge of different estate planning tools and techniques to make sure that your estate is free from unnecessary fees and taxes and that it is administered properly. An experienced estate planning lawyer in Arlington Heights, IL from Bott & Associates, Ltd. can help.