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Estate Planning Basics You Need to Know

Estate planning may seem like something that only the wealthy do. However, planning for what happens to your assets when you pass away is for anyone who has a property. You might be surprised at how much value you have when you die, and you don’t want any of your heirs having a hard time dealing with everything you’ve left.

Here’s a simple guide to ensuring that your estate is well planned:

Get a Lawyer

The first thing you should do is hire a lawyer. A business lawyer in Denver or any other city can help you when it comes to planning your estate. The need for an attorney stems from the fact that there are many laws to follow when dealing with your death and the transfer of your assets to your beneficiaries. Without a lawyer, you’ll be stumbling around blind when it comes to inheritance law.

Life Insurance

One part of your estate that you should start building up is your life insurance. It’s one of your intangible assets and it will kick in when you pass away. It would add to the assets that you pass on to your heirs and is often a good choice for investments. Always choose a plan that will result in a strong benefit for your family when you pass on. Work with your lawyers so that it is clear that your heirs will be able to receive your life insurance benefits.

A Living Will and a Final Will

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There are two types of wills that you’ll want to make with your attorney. One of them is your living will. This is what will be implemented while you are alive but not able to respond to anyone. This document is primarily aimed at the medical treatment that you want and don’t want to be done. For example, do you want to be kept on life support? Decisions like this will be important.

The second type of will is more important. This is your final will and testament and it must be checked by your attorney and witnessed by someone. You will end up in a probate court so that your estate will be dealt with fairly. Without your will, the probate court will be in charge of distributing your assets. If you don’t want that to happen, then you’re going to need a solid will.

Power of Attorney

Similar to a living will, the power of attorney gives someone the authority to have power over your affairs if you are incapacitated. This can range from a coma to being on life-support. This can be important when it comes to the end of life decisions that must be made. This power of attorney is necessary; otherwise, various people can claim to have it without your permission.

Master Document

Finally, you will need to leave a document that outlines all your assets. This ensures that nothing is missed or has been stolen. Start with all of your tangible assets and move on to your intangible ones. Contact your accountant and attorney to know exactly what needs to go into the document.

Death is a serious business and you need to prepare for it. With the help of a reliable attorney, you should have no worries in getting the help you need to plan your estate. With proper estate planning, your heirs won’t have any worries at all.

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