Basic estate planning documents that provide substantial benefits
When it comes to estate planning, uncertainty can be a recipe for disaster. Not making specific and detailed plans for one’s assets means that the state will decide how to divide them after a person dies. But with just a little thought and effort, a testator can make sure that their assets go to the people or organizations that they want them to. So here is a quick look at some basic estate planning documents that can provide solid benefits as well as peace of mind.
A will is one of the most basic estate planning documents and one of the most essential, especially if the testator has a large estate and many dependents. A will lets the testator give explicit instructions how their assets are to be distributed and who they are to be given to. It also lets the testator appoint an executor to oversee their estate once they are gone. A will can even be used to name a guardian for the testator’s minor children. But, it’s important to remember that a will must go through the process of probate which means that it will face taxation to some degree.
Another important estate planning document is long term care insurance. Long term care insurance can be very important for a testator since it can help them preserve more of their assets if they require long term care. This type of insurance usually pays out a daily benefit to the testator which means that they don’t have to dip into their own financial reserves to cover their expenses.
Life insurance can also be a valuable tool as well. However, any Florida resident who is interested in estate planning may want to speak to an estate planning attorney in order to discover what other types of documents can provide considerable benefits.
Source: smartassets.com, “5 must-have estate planning tools for wealthy investors“, Accessed September 24, 2016