Death can happen unexpectedly. Everyone should have some sort of estate plan in place. However, according to CNBC reports, 67% of people do not have any estate plans in place.
Estate planning is about more than allocating assets to say who will get your possessions once you die. There are multiple points a plan can cover, which is why every adult should have one.
Putting someone else in charge
Establishing a power of attorney allows you to choose someone trustworthy to make important financial and legal decisions on your behalf if you become unable to do so. Making this legal choice requires putting the proper documentation in place, which can be an important part of your estate plan.
Setting burial plans
Highlighting your funeral or burial plans is also part of an estate plan. By detailing your preferences, you can spare your family the burden of making these decisions during a challenging time. You can lay out what you wish to happen while also giving your loved ones peace of mind.
Providing for pets
Protecting your pets is also a consideration in estate planning. You can outline specific instructions for the care of your furry companions, including who will take care of them and provide money for their expenses. This ensures that your beloved pets continue to receive proper care and attention.
Ensuring care for children
When it comes to children, an estate plan is a must. It allows you to designate a guardian who will take care of your minor children if something happens to you and their other parent is not an option. This decision ensures that your children’s well-being remains a top priority, even if you are no longer there to care for them.
Additionally, you can incorporate provisions for adult children with special needs. Your plan can provide ongoing financial support and care for those who may require extra assistance throughout their lives.
An estate plan is a comprehensive framework that goes beyond just dividing assets. It encompasses important aspects of your life, allowing you to thoughtfully plan what will happen after your death or if you become unable to make decisions for yourself.