You never know what the future has in store for you. Fortunately, there is a way to prepare for the worst. By creating a will and trust, you can prepare for the unexpected. You can give your loved ones the resources they need to survive after you’re gone.
If you fail to do any estate planning, your loved ones might not get the assets you want them to have. They also are unlikely to get those resources in a timely manner. In some cases, the court could be the one to decide who gets which assets.
But you can prevent the confusion and complications that come from a lack of estate planning. By working with us at Wills and Wellness Estate Planning, you can find out more about your options for preparing your loved ones for a future without you.
How Can a Will or Trust Help You?
There are several ways in which a will can make a difference for your loved ones. But before you can understand how a will or trust can help you, you should know more about the difference between the two.
A will is a document that can name beneficiaries to a property, executors, and guardians for children. They can also detail how to handle taxes and debts.
Meanwhile, a trust can do much more. It can do all of the following:
- Avoid probate
- Maintain your privacy after death
- Prevent conservatorship
- Leave property to your minor children
- Establish a trustee to control how your beneficiaries spend their money
A will tends to be easier to prepare, and a trust requires more knowledge of estate planning law. However, a trust is less likely to have court challenges. Whichever type you use, your estate planning can accomplish all of the following:
Give You Peace of Mind
Death is always a morbid and scary thought. However, it becomes even more intimidating when you don’t have a will or trust. You might worry about your loved ones and how they would cope without you. When you have an estate plan, you get peace of mind. You can take comfort in the fact that your loved ones will have the financial means to have a bright future.
You also get peace of mind with your medical care. By granting someone you trust power of attorney, you put your life in the hands of someone you trust. If you are medically unable to make decisions for yourself, a loved one can handle the responsibility for you.
Give Your Loved Ones the Right Assets
You worked hard for your assets. Therefore, you probably want to have some say in how they get distributed. You might want a close cousin to receive a large portion of your assets, or a best friend to be left with some of your money. In either case, it’s important to have those assets distributed in your will.
Get Your Kids the Care They Need
During your estate planning, you can name the future guardians of your children. This allows you to choose someone who shares your values and will give your children the childhood you want for them.
You might be planning on your partner caring for your kids after your demise. However, this isn’t always possible. If you and your partner both pass away, your children need someone else to care for them.
If you have an unclear will or trust or no estate planning, your family could be in for some legal trouble. A long-lost family member could appear and demand some of your assets. Then, a legal battle could ensue.
You can save your loved ones from the cost and stress of a dispute by having a detailed estate plan. By working with an experienced attorney, you can ensure that your wishes are clear.
How a Revocable Trust Works
People often hear about trusts without really understanding what they are. A trust is a financial instrument where you can transfer assets for a beneficiary. A revocable trust allows you to remove your assets from the trust if you need them. A trust has a fiduciary or a trustee who is responsible for overseeing the operation of the trust. In estate planning, a revocable trust can trigger upon the death of the trust maker. Then the assets can be distributed by the fiduciary in accordance with the decedent’s wishes.
Working with a Denver Wills and Revocable Trusts Attorney
In Denver, the median household income is $76,643. Whether you make more or less than that amount, you could benefit from having a will or trust.
Wills and Wellness Estate Planning has years of experience creating wills and revocable trusts. If you’re unsure about your options for estate planning, contact our firm. We can get started on your plan.