What is estate planning exactly? Many people imagine a process where an elderly individual writes out which family members will receive their belongings after death. However, estate plans aren’t only for the elderly — and they aren’t just about asset distribution, either. Here’s what you need to start creating an estate plan as a millennial.
Estate Planning Checklist for Millennials: Questions to Ask Yourself
An attorney can help you put together a personalized estate plan. But before you start creating your plan, consider asking yourself these important questions:
What Kind of Medical Care Am I Willing to Receive?
Under normal circumstances, you can discuss options for medical care with your doctors and come to a decision. But what happens if you’re incapacitated? A living will or advance directive is an important estate planning document that details medical treatments you do and do not consent to. Consider which treatments you want to name.
Who Will Care for My Children or Pets if I Can’t?
Your will doesn’t just detail who receives your assets after your death. It also allows you to appoint guardians for children, pets, or both. You’ll want to have someone in mind to take on these responsibilities.
Who Do I Trust to Make Decisions for Me?
Your estate plan may include a power of attorney, which is a legal document authorizing someone to make decisions for you if you’re incapacitated. These are a few main types:
- Durable Power of Attorney: Permits a designated person to manage your day-to-day affairs
- Financial Power of Attorney: Permits a designated person to handle your bills and other money matters
- Medical Power of Attorney: Permits a designated person to make medical decisions for you
Consider which person in your life you feel you can trust to handle major decisions for you. The right estate planning attorney can walk you through this important process.
Who Will Receive My Assets?
If you die without a will, the state determines how your assets will be distributed according to Colorado statute. You’ve worked hard for your money and possessions, and having a valid will ensures your wishes will be honored after death. Decide which loved ones will receive your assets.
How Can I Maximize What My Loved Ones Receive?
Depending on the size of your estate, your loved ones may be subject to estate or inheritance taxes. If this is the case, trusts and other estate planning tools may be able to help you reduce or eliminate the tax burden and ensure most of your assets go to those you love — not the government.
There are many different types of trusts, and each can help you accomplish a different goal. Your estate planning lawyer can help you determine which is best for you.
Get Started on Your Custom Plan Today
Thinking about your eventual passing can be uncomfortable and unnerving. However, once you’ve created your estate plan, you’ll have the peace of mind that comes with knowing your wishes will be protected in the event of the unexpected.
Mason Law and Planning Group helps Colorado individuals and families craft customized estate plans that meet their needs. If you have questions or you’re ready to get started, contact us today.