Estate planning is more than having documents. The documents, accounts, beneficiaries and family intentions need to work together.
Confirm core legal documents
Depending on circumstances and state law, an estate plan may include a will, trust, durable power of attorney and health-care documents. An estate-planning attorney should determine which documents are appropriate and prepare legal instruments.
Review account ownership
How an asset is titled can affect how it transfers. Review individual, joint, trust and entity ownership with legal counsel where appropriate.
Review beneficiary designations separately
Retirement accounts and insurance policies often transfer under beneficiary designations. Those elections should be reviewed after major family changes and coordinated with the broader estate plan.
Identify liquidity needs
Taxes, debts, expenses, equalization among heirs or ongoing family obligations may create liquidity needs. Understanding where cash would come from can be an important part of estate planning.
Organize information for the people who may need it
Maintain an accessible inventory of accounts, advisers, legal documents and important contacts. Avoid placing passwords or sensitive information in an unsecured document.
Review as life and law change
Marriage, divorce, births, deaths, relocation, business transactions and changes in tax or estate law can all justify a review with qualified legal and tax professionals.
This material is provided for general educational and informational purposes only and is not intended as individualized investment, tax or legal advice or as a recommendation of any specific investment, strategy or course of action. The considerations discussed may not apply to every investor, and strategies may involve risks, costs, taxes and other limitations. Investing involves risk, including possible loss of principal. Tax and estate-planning matters should be reviewed with qualified tax and legal professionals. White Aspen Capital does not provide legal advice. Information is based on sources believed reliable, but accuracy and completeness are not guaranteed. Rules and individual circumstances can change.