Many people have a myth that having a trust or a will makes their estate planning documents complete. Not only does estate planning consists of more documents, but it could also become necessary for people to be aware of what precisely a record means. If you want to start estate planning without missing any important documents, you must consult an estate planning lawyer.
For your estate plan to be successful, you must include the essential documents and list out all the assets along with naming the beneficiaries. Estate planning is an easy process, but it does require close observation. If mistaken, one could face probate or other difficulties to provide their assets to their heirs.
List of documents you should include in the estate plan:
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Trust/Will
A trust or a will should be the first primary document in any estate plan. These documents allow the defendant to list out the estate and assets they own explicitly. Also, one can add beneficiaries to a will or a trust as per their preference. However, the defendant should note the assets and the associated beneficiaries to it. In some cases, more than one beneficiary was named to the same asset. It leads the beneficiaries to family feuds or probate. Hence, you should list out assets accordingly.
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Power of attorney
A power of attorney would allow you to assign an individual who will act on your behalf when you are not able to. A power of attorney could be essential when the applicant faces sudden death. The court will take the matter of distribution of assets or the decision if a power of attorney is absent.
One also drafts a healthcare power of attorney if they want someone else to decide the case of their inheritance. This document would give the ability to the agent you chose to make decisions on your behalf whenever necessary and help you in transferring estate.
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Letter of intent
A letter of intent is a document that expresses your wishes to the beneficiaries or the executor. One can draft a letter of intent with the help of an estate planning attorney. This document defines an individual’s wishes about a particular asset that has been left for the heirs.
The letter of intent could also provide details about one’s funeral and other pleas. This document may be valid or necessary in the court, but it can help the probate judge understand your estate purposes if the will becomes invalid.
