Do you have a legal plan in place in case you should end up being mentally handicapped or in case of your death? If not, your family may deal with a long and stressful time in court. When you don’t have an estate plan to deal with end-of-life concerns such as the distribution of your property and guardianship for your kids, state law takes control of and decides the fate of your estate.
The law that governs an estate without an estate plan is called intestacy and this law will identify who gets what, who takes care of your kids and even who will oversee the procedure of dispersing your assets.
That suggests that if properties require to be offered to pay off existing financial obligations, your family will not necessarily have a say in which properties get sold. If you have antiques or household treasures, they might wind up in auction instead of in your household’s hands.
Not having an estate plan will also affect your kids’s well-being. If both you and your partner pass away without a guardian plan in place, the court will decide who gains custody of your kids. The individual selected might not raise your kids as you would like, or your kids may even enter state care if no one is available to take them. By planning ahead, you can choose a proper and willing guardian for your children.
When more than one marital relationship takes place, your estate planning can get a little insane as you consider your existing partner or partner, children with an ex-spouse, and step-children. What takes place if you do not have a plan? Your step-children or a domestic partner may be left out of receiving any property or loan. Other family members that are not instant family may also be shut out of your estate.
What if you become mentally unsound? Your estate plan can likewise consist of a prepare for your care. This medical document may also determine your desires regarding life support. No medical estate plan in location will imply that intestacy laws and the court will decide who makes medical decisions for you.
If the idea of the government making choices for you alarms you, and you wish to make certain your family is well cared for after your death, be sure to create an estate plan today.