Estate Planning Not Just for People with Children
There is a common misconception that estate planning is only really necessary for people who have children to whom they wish to pass down their assets. However, estate planning is so much more than asset distribution — there are many reasons why it’s important for people to develop an estate plan, even if they don’t have children.
Below are several of those reasons:
- Power of attorney: It is crucial to have a plan in place for what happens to your possessions and the types of care you will receive if you become incapacitated. Granting power of attorney for finances allows someone else to manage your financial affairs, including paying taxes, selling assets and paying creditors. Granting power of attorney for healthcare or a designation of a health care surrogate and developing advance directives enables an individual to make healthcare decisions on your behalf in accordance with instructions you leave behind.
- Asset management: Even if you do not have children who will be inheriting from you, you probably still have other relatives or organizations that will be beneficiaries of yours. Therefore, it is still a good idea clearly outline who or what beneficiaries should inherit your assets. Setting up a will or a will and a trust enables you to control that.
- Plan for your pets: If you have any pets, you can add some stipulations in your estate plan to outline whom you wish to take care of them after your passing. You may also leave behind some money for their ongoing care.
These are just a few examples of the ways outside just asset distribution that you can benefit from estate planning. For more tips and guidance, speak with an experienced Tampa estate planning attorney at BaumannKangas Estate Law.