In the event you are no longer able to handle your medical needs and your finances, who will be the person responsible for handling those affairs? What about when you pass away? You want to make sure your estate plans will reflect your wishes. However, the person you list responsible for carrying out those plans is also important. You want to name someone who will honor those wishes because this is a big responsibility.
When you are estate planning, there are some important documents that you need to include, and they include:
- A Will
- A revocable trust
- A power of attorney
When you include those documents, they need to answer some important questions:
- Who will have the responsibility of unwinding the estate?
- Who will have the responsibility of carrying out your financial affairs?
In these documents, you will give someone else the authority to make decisions on your behalf. How can you be sure you are choosing the right person?
The Person’s Lifestyle
If you are considering one of your friends who is not known as the responsible one or if he/she does not pay bills on time, then that person may not be the one who should take care of your financial matters. If you are considering one of your friends who does not have children and likes to make travel plans, that person probably should not have responsibility over your children.
You will want to avoid appointing someone to a particular role if they are hesitant about taking on the responsibility. You should also have a list of people just in case things change with the person you asked first. It is important that the people you are considering are all on the same page.
It is also important to communicate your thoughts, your concerns, and your questions. It may help to write letters that will clearly express your wishes and concerns.
You may feel overwhelmed with putting your estate plan together, but these plans are essential. Whatever you put in your documents will be better than letting someone in the court system decide for you and your family.
If you are considering estate planning and you are unsure of what you should do, feel free to contact us with your questions.