Considering how to leave your wealth to your heirs in California long before you reach advanced years is an important consideration. No matter if you are rich, poor or somewhere in between, drafting an estate plan is an essential step to ensuring that your valuables go to their intended recipients.
Get peace of mind with a well-developed plan
Getting started with estate planning early allows you to shape your documents and provide for your loved ones in the way you want. Planning your estate is important because when you don’t have a will or trust, the courts are ultimately responsible for deciding who gets your wealth, which may not be according to your wishes. If you die or suddenly become incapacitated, decisions about medical care, your wealth and other issues will be decided by someone else.
Well-crafted estate plans have several components that include last wills and testaments as well as directives for health care and financial concerns should you become incapacitated. Wills can name guardians for minor children along with an executor or an estate representative. Some individuals may want to consider various types of trusts that will protect their wealth for heirs or provide a way for contributing to charities while also establishing a source for income later in life.
Estates are not set in stone
Sometimes, individuals do not want to establish estates or trusts because they mistakenly believe that plans cannot be changed. Needs change over time, and estates should reflect those changes.
Carefully considered estate plans written down a decade ago may not be applicable now. Reviewing your estate plan periodically can ensure that the documents still meet your needs and wishes. You may add wealth or want to add heirs. Reviewing your documents will allow you to add components that will make your estate more relevant as your needs change over time.