Over the many years I have practiced law, I am always reminded that the law is confusing for the layperson. The confusion is evident in the area of estate planning, due to the mysterious words lawyers use, and the constantly changing laws.
In estate planning you must have a starting point - a basic road map which will guide you to your destination. You have to be aware of the tools which will help you accomplish and meet your goals.
A basic estate plan should be simple, inexpensive and express your intent in preserving and transferring your home and other possessions. The estate plan should dispel your worries and uncertainties, and, in addition, should guide your loved ones intelligently, and with the least amount of expense.
Here are the four (4) tools you will need to create a basic estate plan that is both simple and inexpensive.
- LAST WILL AND TESTAMENT or LIVING TRUST: These documents will transfer your estate assets to those you name.
- GENERAL DURABLE POWER OF ATTORNEY (FINANCIAL and PROPERTY): This power of attorney permits your agent or agents to transfer your assets without court authority if you become incapacitated. Gifting powers may avoid the Medicaid Lien.
- HEALTH CARE POWER OF ATTORNEY: This power of attorney may save your life! If you are unable to speak, your loved ones can speak for you regarding the use of life supports and other medical or surgical procedures.
- LIVING WILL: I have met no person who did not want to die with dignity. The Living Will 'declaration' made during your lifetime instructs your doctors and hospital personnel how to handle your medical care when you are in extremis.
These four instruments comprise your basic estate plan. A one-hour visit with your legal advisor will gather up the facts, and in a week you should be able to sign your document before the required witnesses.
All of the worry, mystery and tensions which you have built up in anticipation of creating an estate plan should dissipate. Your mind should be set at ease.
Good Luck!
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