What Is Estate Planning?

WHAT IS ESTATE PLANNING?

Facing the Facts

There are certain inherent facts of life

Ironically, the inevitability of death

is one of them

All responsible adults should plan ahead for this eventuality

This is done by engaging in the process of ESTATE PLANNING

TRANSFERRING FINANCIAL ASSETS

ESTATE PLANNING involves arranging for the transfer

of your financial assets to your heirs

If you do not take action on your own,

YOU WILL DIE INTESTATE

Under these circumstances, the state would distribute your assets using intestate succession

laws

MAKING YOUR OWN DECISIONS

Most people would not want the state handing out their assets

When you effectively plan your estate,

you seize control of the situation

Intestacy will be avoided

Your loved ones will receive their inheritances in accordance with

your wishes

THE LAST WILL

One way to arrange for the transfer

of your assets to your heirs is through THE CREATION OF A

LAST WILL

While this is a very commonly used vehicle of asset transfer, it is not your only choice

REVOCABLE LIVING TRUST

A commonly used alternative to a last will is a revocable living trust

THIS TYPE OF TRUST is useful for a wide range of

people

Property that is conveyed into a revocable living trust can be

distributed to the beneficiaries outside of probate

PROBATE

PROBATE is the legal process of estate administration

It does provide certain protections

However, it can be time-consuming and expensive

For these reasons probate is often avoided

INCAPACITY PLANNING

A COMPREHENSIVE ESTATE PLAN

will consider the possibility of future incapacity

You can name people to make decisions in your behalf in the event of your incapacitation by executing durable powers of

attorney

In addition, a living will can be included to state your preferences

regarding the utilization of artificial

life sustaining measures

THE NEXT STEP

Now that you know a little bit about estate planning, you may want to take action to put a plan

in place

If you live in Warwick or Wakefield, RI, CONTACT OUR FIRM TO SCHEDULE A FREE

CONSULTATION

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