By Maura Keller
When you think of estate planning, what comes to mind? Writing a basic will? Certainly. Establishing a power of attorney? Absolutely. But proper estate planning involves many more facets in order to build, maintain and preserve assets for your family and to provide security and support of family members in the event of your incapacity or death. Quite simply, a thoughtful, well-planned estate can be one of the most generous gifts you give your loved ones.
“Estate planning is for everyone 18 years old on up,” says Stephanie Thompson, attorney and owner of Krueger Hernandez & Thompson SC. “There are basic documents that all adults need in order to avoid guardianship proceedings in the event of health concerns or incapacity. The key to estate planning is that it will require maintenance as your life, needs and goals change.”
A basic estate plan should include a Last Will & Testament, Financial Power of Attorney and a Health Care Power of Attorney. It should also include a Living Will (or Declaration to Physicians) and an Authorization for Final Disposition.
As Thompson explains, depending on the goals and assets you have, one might also consider implementing a Revocable Living Trust into their estate plan.
“This allows for the avoidance of probate, smoother transition and more efficient administration, as well as more protections for the beneficiaries you are selecting,” Thompson says.
Another key aspect of estate planning is preparing for the potential need of long-term care.
“There are many options that could be utilized when trying to mitigate the costs of long-term care without spending all of your hard-earned money,” says Thompson, who strongly encourages researching and purchasing long-term care insurance, which her firm can assist with.
“The earlier the better, as the cost only increases the older you get. We can also discuss the use of Asset Protection Trusts within your estate plan, which can protect assets from being required to be spent on long-term care costs, preserving them for your spouse and beneficiaries,” Thompson says. “If a loved one needs long-term care imminently, there are additional strategies that can be discussed, again to preserve them for your spouse and/or beneficiaries.”
One of the common mistakes people make as it relates to their long-term care plan is simply not planning ahead.
“No one has a crystal ball to know what will happen and when,” Thompson says. “It’s important to start educating yourself and asking questions sooner than later so that you can choose what plan aligns with your priorities.”
Krueger Hernandez & Thompson offers a variety of educational events that people can attend for free and the firm partners with many community resources to help connect those in need. They also offer free initial consultations so that people can learn and ask questions specific to their circumstances.
