If you've been reading our blog, then you know that there are many aspects to an estate plan. Oftentimes the focus is on physical assets, such as money, real estate, and personal property, but it can also include powers of attorney and health directives that can instruct other as to how to act in the event that incapacitation strikes. For New Yorkers who have children, there is a whole other consideration that must be considered when creating an estate plan.
Estate planning is the process through which individuals devise a plan for the distribution of their assets upon their passing. These assets can vary widely from person-to-person,and can encompass numerous asset types. Bank accounts, stocks and bonds, real estate, personal possessions and even intellectual property can be addressed in an estate plan. Yet, while creating an estate plan or when a loved one passes away, individuals are often left wondering how debts are handled after death.
Drafting an estate plan is supposed to be a process blanketed in trust. Those engaging in estate planning often trust professionals to provide them with advice that is best for their set of circumstances, and those same individuals often trust that their heirs and beneficiaries will abide by the estate plan. Although thoughtful and thorough estate planning can ensure that trust is maintained and that asset distribution upon death occurs in accordance with a testator's wishes, there are circumstances where trust is betrayed and estate plans are threatened.
Finding the time, energy and motivation to create an estate plan is small feat. Yet, successful creation of one of these plans is just the start of the asset distribution process. In fact, an estate administrator plays a significant role in this process, as he or she has a number of duties that must be carried out carefully to ensure that the estate's integrity is protected.
Gathering the courage and motivation to engage in estate planning can be quite an ordeal in and of itself. However, the process can be much more difficult to tackle if you have unique circumstances that must be addressed. One such issue is when an heir is one who has special needs. Typically, this person is a child of an estate planner, so those engaging in estate planning want to make sure they are taking the proper steps to ensure their child is adequately cared for once they pass.
Estate planning should be a part of every individual's life. However, many people choose to put off estate planning for far too long. Some never wind up engaging in it. There are a variety of reasons for the hesitation and procrastination. More often than not, people are afraid to confront their own mortality. They believe estate planning is only meant for the wealthy, or they feel overwhelmed by the process. None of these concerns are valid. This week we will look at how New Yorkers can simplify the estate planning process so that it doesn't seem so overwhelming.
We all have a general idea of who we would like to have our possessions if we pass. Those who engage in estate planning hope that their assets will be passed on in accordance with their wishes. To do so, these individuals utilize a number of legal tools, including trusts, wills and powers of attorneys. However, even the most iron-clad estate plan can falter when an estate administrator and others involved in the estate distribution process fail to abide by the laws and rules in place to protect estates.
When people think of estate planning, they often think about how they want to leave their assets to their loved ones while at the same time protecting the value of the estate. In a nutshell, this is the entire purpose of estate planning. But there are many considerations that go into the process, which may alter the way in which one engages in estate planning. These considerations can give rise to estate planning challenges.
There is always something we need to do better our future, but this does not mean it is easy to take these steps. It can take a lot of courage to initiate the estate planning process. It's not easy to address your own mortality, and the thought of how to divide your assets amongst your loved one's can be stressful, especially when expectations are high. Although some individuals feel a massive sense of relief once they complete their estate plan, they are far from being done with the matter. Those who fail to revisit their estate plans may very well be putting their estates in jeopardy.
Losing a loved one is a difficult thing to deal with. While surviving family members focus on their emotional healing and remembering their lost loved one, they often also have to confront the reality that they have to figure out what to do with their loved one's assets. This process of asset distribution may sound easy enough, but in practice it can be fraught with logistical and legal complications.