What is Estate Planning?

According to Investopedia the estate planning definition is “the collection of preparation tasks that serve to manage an individual’s asset base in the event of their incapacitation or death.” They go on to indicate that it includes dividing assets among heirs, and calls for the settlement of estate taxes.

There are several different tasks that may be included in the process of planning for an estate. With the help of an estate planning attorney many people will:

  • Create a will
  • Name an executor for the will to carry out its terms
  • Arrange for someone to manage other investments or assets through a durable power of attorney
  • Preplan funeral arrangements
  • Set up trust accounts in the names of beneficiaries in order to reduce estate taxes
  • Establish annual charity contributions that will reduce taxable estate
  • Create or update beneficiaries on qualifying accounts such as life insurance and retirement accounts
  • Name a guardian for living dependents

Why Hire an Estate Planning Lawyer

While technically it is possible to obtain legal forms in order to make plans for an estate without hiring a lawyer, most of the time an expert should be consulted before filing documents with the court. Filling out legal forms incorrectly can potentially nullify them. In the case of wills or other estate related documents, errors might not be discovered until after death, which can cause delays in finalizing the terms of your will or even cause the court to override your intentions.

In some cases, looking at these forms may help you organize your estate, which may be helpful when you meet with the attorney and give you a place to start. The extent to which you will need an attorney’s assistance depends on factors such as the amount of assets owned, whether or not a business is owned, concerns about medical care and power of attorney, the needs of minor children or other dependents.

Even when assets do not add up to enough to go into the probate process, seeing that your affairs are taken care of if you become incapacitated, and tending to the needs of your children are often enough to warrant a consultation, and possibly retain a lawyer for some services.

Choosing an Attorney

Since whatever you plan to take care of your loved ones or yourself after your death or incapacity is a sensitive matter both emotionally and financially, it’s important to really pay attention as you select someone to work with on these matters. Here are some things to pay attention to:

First Impression

When you first call law offices, trust your first impression. How is the phone answered? What do they tell you about the price of your initial consultation? Even before going in, you can get a feel for whether the office is well organized and how available an attorney will be.

Communication About Billing and Service

Billing and services should be among the first things explained. What services are included in any stated flat fee? Are things like reviewing legal documents or updating them included? See that they are willing to do more than file papers. They should verify that assets and business are well structured and compliant, and have enough knowledge about related financial issues such as college funding or retirement planning, or general business to be helpful in these areas. Get a feel for their level of sensitivity and ability to help you pass on nonmonetary wealth, such as your values and who you are as a person.

By taking the time to formally plan what will happen with your estate, you can help to make it easier for those left behind after your death to follow your wishes, and obtain their inheritance with fewer complications. At Wright Probate, we handle a variety tasks relating to estate planning law. If you’ve been thinking it is time to start making arrangements, contact us to set up a consultation.