The Difference Between Having A Will and A True Estate Plan Bentonville Estate Planning Attorney
The difference between having an estate plan and just a Last Will and Testament is like the difference between a plain old used Chevy and a decked out new Mercedes! They both get you where you want to go, but the experience is completely different.
In many cases, a Will just isn’t enough. Yes, it is true, under the new estate tax laws many people will never pay a penny of estate taxes, however there are a lot of reasons for creating a comprehensive estate plan:
- Reduced expenses
- Reduced hassles and legal burdens
- Maintain privacy
- No Courts involved
- Transfer property on your terms, not the State’s terms
- Lifetime protection and management of your property
- Avoid common, devastating financial mistakes that could cost your home or a lot of your money
Not understanding the differences between a Will and an estate plan could have devastating affects on your family and loved ones!
Many folks are getting complacent because they know that the estate tax exemptions are in the millions of dollars now.
Estate planning has never been just about taxes.
Many people like simple. Many people think they can do with just a short simple will since estate tax won’t affect them. But simple wills don’t include the flexibility of a trust to protect your loved ones from creditors and financial predators. Wills also don’t include provisions to protect you later in life when you may need it. Real planning is required
Trusts
A Trust provides protection from creditors, financial predators, and divorces. A Trust give you control over how your loved ones inherit their wealth. Family members with mental illness and addictions can be protected and shielded from the consequences of inheriting a lump some of money. Trusts have and will continue to help give peace of mind and preserve family wealth for generations to come.
Powers of Attorney
A Durable Power of Attorney names somebody you know and trust to manage your legal and financial affairs later in life when you are unable, or don’t want to anymore. Without a Durable Power of Attorney, your loved ones may be forced into court in guardianship proceedings to take over managing your affairs. They may end up fighting with each other over who should be in control, perhaps for years.
Living Will/Advance Directive
What about your end of life choices? Do your loved ones know what you want and don’t want? Even if they do, the chances are a doctor may ignore them and do what he thinks is best. Write down your choices in a legally binding document.