Top estate planning attorney Bobbi Thury and Co-Founder of Legacy Law Firm, P.C. lists five top tips for creating an excellent estate plan. For more information please visit https://www.legacylawfirmpc.com
Sioux Falls, SD, United States - January 21, 2022 /MM-REB/ —
Having a well-defined estate plan on death or incapacitation will go a long way to helping family if and when those moments arise, said Sioux Falls attorney Bobbi L. Thury.
For more information please visit https://www.legacylawfirmpc.com
The Estate Planning Attorney Bobbi L. Thury and co-founder of Legacy Law Firm, P.C., revealed five top tips for creating an excellent estate plan with no room for confusion and a smooth transition of assets to beneficiaries.
Thury said: "The first tip is not to rely on hearsay and 'helpful advice' from loved ones and friends. Get professional advice from an Elder Law attorney, a financial professional, a tax professional and an accountant so you can build an estate plan that reflects your needs perfectly."
They can discuss probate laws as you may find that some assets will not need to go through this process.
Secondly, a good estate plan should be well written and clarify everything you want to accomplish when it comes to protecting your family and distributing your assets. For one, it lessens the potential for confusion on what should go to whom, limits the chances of family fights and potential litigation between warring loved ones, and allows the family to get on with their grieving.
Thury said documents should assert a financial power of attorney for the estate, a healthcare power of attorney if you become ill or injured and can no longer make decisions independently, clear instructions about what treatments you do and do not want if you are unable to speak for yourself, and a last will and testament that names beneficiaries for assets.
“These directions should, if they apply, nominate a guardian to look after children if they are still minors in the eyes of the law. If children are involved, you should consider a trust that holds money for them and what it may be used for, Thury said.”
"Another tip and one often overlooked is digital assets – or the images and documents stored on social media or 'in the cloud'. Assign all your login names and passwords to a trusted person close to you, so they can gain access and be able to shut down your online presence."
Thury went on to say that “A plan should be created before you become incapacitated or too sick to do so. "This includes, among many other things, planning for taxes due within nine months of death. Putting money away for that tax day may prevent assets that you wanted to allocate to loved ones from being sold off. These matters should be addressed to an estate planning attorney for clarification."
Planning can also be beneficial if long-term care needs have to be factored in. Speak to both a financial advisor and elder law attorney to discuss all these options and the little known issue of the Income in Respect of a Decedent, or IRD. Thury said that
“if you die and have income, such as savings bond income and individual retirement account payouts that haven't been taxed,
your estate will have to foot the bill.”
Finally, keep an estate plan up to date with at least one review a year and keep beneficiaries up to date to prevent potential conflicts after death. "A plan should be reviewed and possibly updated every 3 to 5 years at the very least. Change in life is constant, so keeping up with life, income, family, and legal changes is essential to having a fully effective plan.”
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