Estate planning is arranging who will inherit the estate after its owner is gone. The goal of an estate plan is to designate the heirs of assets. Regardless of the size of the estate, all estates need a plan to protect the future beneficiaries.
Benefits of Estate Planning
If a proper estate plan is not intact, the court will decide estate affairs. An estate plan ensures that you’re in charge of where your assets go instead of the court. Planning allows you to choose who will inherit everything you’ve worked so hard for in your life.
Your loved ones will have to settle your affairs after you are gone. An estate plan makes this process much less difficult for them. Furthermore, settling assets in probate can become costly. Unfortunately, it can also lead to strife in your family. This is especially true if family members disagree on specific terms. During an already difficult time, family members mustn’t be pitted against one other while settling affairs. Having everything preemptively planned for them will keep things straightforward and peaceful.
Estate planning also reduces taxes on what you leave behind. A qualified estate plan professional can advise you on utilizing giving tactics and setting up trusts. Furthermore, experienced estate planning services provide a host of knowledgeable tips to help you decrease the tax burden your loved ones will have to face otherwise. Even just a bit of planning can significantly reduce inheritance tax.
When to Update Your Estate Plan
It’s essential to review and potentially update your estate plan every couple of years. Specifically, update your plan if your relationships have changed with any members included in it. Furthermore, be aware of market changes because this can be a great time to save on taxes. In times of market volatility, our estate tax planning attorneys can use strategies that enable you to mitigate gift and estate taxes.
Estate planning may be a challenging topic for you and your family to think about. However, effective estate planning with professionals here at Law & Stein will help ensure that your family gets the total value of your estate.