Where to Start When Creating an Estate Plan - By Supal Vora, Private Wealth Advisor
T
he COVID-19 pandemic has made Americans even more aware of the importance of planning for the unexpected. While no one knows exactly what’s in store for the future, one thing you can do for your loved ones is create an estate plan that expresses your wishes in the event of incapacity or death. If you’re like a lot of people, you may not know where to start, but here are five documents that can form the foundation of a well thought out estate plan:
1
Last will and testament
This is the primary document that defines how you want your property and other assets to be handled. It also assigns guardians for minor children and even pets and it provides a place where you can name your executor, the person who will manage the dissolution of your estate. Your will can also include directions regarding your funeral arrangements, such as whether you prefer to be buried or cremated.
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2 Power of Attorney (POA) This legal document identifies an “agent” or person who can act on your behalf. You can choose to be very specific or very broad in the authority you assign to the POA. In some cases, a different family member may be POA for finances and/or personal property while another person is assigned to make decisions regarding medical care.
3 Living will Also known as an advanced health care directive, a living will conveys your wishes regarding end-of-life medical care. It spells out the extent of life-extending care you want to receive in case you are unable to communicate these preferences yourself. For example, you can request that medical personnel perform invasive life-saving procedures such as resuscitation or tube feeding as needed. Alternatively, you can put in place a Do Not Resuscitate (DNR) order and request only comfort care.
MAY 2021 - WWW.DESHVIDESH.COM
