Estate planning involves arranging for the management and disposal of a person’s assets and responsibilities after death. It ensures assets are distributed according to a person’s wishes and provides for loved ones. Estate planning often includes creating a will, setting up trusts, and designating beneficiaries for retirement accounts and life insurance policies. At Buckman and Buckman, our expert team can help with some of the most important decisions for your family’s future.

A key aspect of estate planning is addressing potential taxes and legal complications arising after death. By planning, individuals can help reduce the burden of taxes on their beneficiaries and avoid the complexities of probate, the legal process for distributing assets.

Additionally, estate planning allows individuals to make important decisions regarding their personal care and financial matters if they become incapacitated. This can include setting up powers of attorney and healthcare directives.

Effective estate planning requires careful consideration of various factors, including the size and complexity of an estate, family dynamics, and individual wishes. While the process can be complex, it provides peace of mind knowing that personal affairs are in order, and loved ones will be cared for according to one’s wishes.

A durable power of attorney is a legal document that grants someone else the authority to make decisions on an individual’s behalf, particularly regarding financial and legal matters. The key feature of this document is its durability, meaning it remains effective even if the individual becomes mentally incapacitated.

The person chosen to act on behalf of the individual is known as the agent or attorney-in-fact. This person can be authorized to handle a wide range of tasks, such as managing bank accounts, paying bills, selling property, and handling other financial matters. The extent of the powers granted can be tailored to the individual’s specific needs and preferences.

One of the main benefits of a durable power of attorney is that it provides continuity in the management of the individual’s financial affairs if they are unable to do so themselves. This can be due to various reasons like illness, injury, or absence.

Setting up a durable power of attorney is a proactive step that ensures an individual’s financial matters are taken care of according to their wishes, even if they are not in a position to manage them personally. It’s a vital component of comprehensive estate planning, offering assurance that financial responsibilities are handled responsibly and efficiently.

Health Care Surrogate

A health care surrogate is an appointed individual who makes medical decisions on behalf of someone else, known as the principal, when they are unable to make these decisions themselves. This role is a critical component of healthcare planning, ensuring that medical care aligns with the principal’s preferences and best interests.

The responsibilities of a health care surrogate include deciding on treatments, choosing health care providers, and determining living arrangements for medical care. The surrogate’s decisions are based on the principal’s known wishes, which can be expressed in documents like a living will. If the principal’s wishes are not known, the surrogate makes decisions based on what they believe the principal would have wanted or what is in the principal’s best interest.

Choosing a health care surrogate is an important decision. It is often a trusted family member or friend who understands the principal’s values and desires regarding healthcare. This appointment provides reassurance that medical decisions will be made by someone familiar with the principal’s wishes, ensuring respect and dignity in their medical care.

A health care surrogate plays a vital role during times when the principal is unable to communicate, providing guidance and making informed decisions for the principal’s health and well-being.

Special Needs Trust

A Special Needs Trust is a type of trust specifically designed to provide for the needs of an individual with disabilities, without jeopardizing their eligibility for government assistance programs like Medicaid or Supplemental Security Income (SSI). This trust allows for the management and distribution of assets for the benefit of a person with special needs, ensuring they have the financial support they require without disqualifying them from essential government benefits.

The trust is managed by a trustee, who is responsible for using the trust’s assets to pay for expenses that enhance the beneficiary’s quality of life. These can include education, recreation, counseling, and medical expenses not covered by government programs. The trustee has the discretion to make distributions in a way that benefits the individual while adhering to the rules of public assistance programs.

One key advantage of a Special Needs Trust is that it can hold assets, including money, property, or inheritances, while maintaining the beneficiary’s eligibility for public assistance. This is crucial because direct inheritance or gifts could disqualify them from receiving these benefits.

Establishing a Special Needs Trust is an effective way to provide for the long-term care and well-being of a loved one with disabilities, ensuring they have the resources they need while preserving their access to government assistance.

Updating Your Estate Plan: When and Why It’s Necessary

Updating an estate plan is a significant task that should be undertaken periodically. Life events such as marriage, divorce, birth of children, and significant changes in financial status can all warrant a review and update of an estate plan.

When an individual marries or divorces, it’s often necessary to alter beneficiaries and guardianships. Similarly, the birth or adoption of children calls for updates to ensure their inclusion in the estate plan. This might involve setting up trusts or designating guardians in case of the individual’s untimely passing.

Significant financial changes, like acquiring substantial assets or a major shift in financial status, also necessitate revisions to an estate plan. Such changes might impact how assets are distributed and could have tax implications.

Additionally, changes in law can affect estate plans. Tax laws and estate planning regulations can evolve, and staying abreast of these changes is important to ensure an estate plan remains effective and compliant.

Regularly updating an estate plan ensures it accurately reflects an individual’s current wishes and circumstances, providing peace of mind that their legacy and loved ones will be taken care of as intended.

How Our Expertise Can Guide Your Estate Planning Journey

Our experts in estate planning can provide information on a range of topics, from the basics of wills and trusts to more complex issues like trust, will and probate litigation, durable power of attorney, and health care surrogate. They can clarify how different elements of an estate plan work together and the benefits of each.

This consultation can also help individuals understand the implications of not having an estate plan in place. It highlights the potential risks and uncertainties that can arise, affecting the distribution of assets and the well-being of loved ones.

Furthermore, a free consultation can demystify the estate planning process, making it more approachable and less intimidating. Individuals can leave the session with a clearer understanding of the steps they need to take to secure their legacy and protect their loved ones, equipped with the knowledge to make informed decisions about their estate plan.

Contact us at Buckman and Buckman for your estate planning needs. We have been offering our expert services since 1997. Our flat-fee service means our clients get top quality legal advice at an affordable price. Our firm is standing by to assist you in planning for you and your family’s future and peace of mind.