FISCO members attended legal session about estate planning , why it matters and what is it about ?
What Is Estate Planning?
Estate planning is the process of organizing how your assets will be managed and distributed after your death or if you become incapacitated. It involves legal and financial strategies to make sure your wishes are followed, your loved ones are protected, and unnecessary taxes and legal complications are avoided.
Why Estate Planning Matters
Peace of Mind: You decide who gets what, reducing family conflict and confusion.
Protecting Loved Ones: Especially important if you have minor children, dependents with special needs, or aging parents.
Tax Efficiency: Proper planning can minimize estate taxes and preserve more wealth for your heirs.
Avoiding Probate: With tools like trusts, you can keep your estate out of court, saving time and money.
Key Components of an Estate Plan
Will: A legal document stating how you want your assets distributed and naming guardians for any minor children.
Trusts: Legal arrangements that let a third party (a trustee) manage your assets for beneficiaries. Useful for avoiding probate, protecting privacy, and managing estate taxes.
Power of Attorney (POA): Lets someone you trust handle your financial affairs if you're unable to.
Healthcare Directive (Living Will): States your wishes about medical care if you can’t communicate, and often includes a healthcare proxy to make decisions for you.
Beneficiary Designations: Ensure that retirement accounts, life insurance, and other assets go to the right people—these override what’s in your will.
Letter of Intent: An informal document to guide your loved ones and executor on your wishes, including funeral arrangements..
