Oftentimes, parents desire to give the world to their kids. Since they can’t literally give this to their children, they often opt to contribute positively to their lives in as many ways as possible, whether by saving for their college or teaching them how to build a savings account. However, one of the most valuable things that parents can do in New York is to create a will for their kids as well as for other family members. A recent article provides some tips on how to begin the process of will execution confidently.
Failure to engage in estate planning prior to one’s death could lead to assets that are being transferred to a beneficiary being taxed more than is actually necessary. Although estate planning was touted as a need for only wealthy individuals in the past, it is becoming more common for others to engage in this process. With proper estate planning, people can determine exactly where they want their assets to go, no matter how much or little they may own.
Assets can include retirement savings, annuities, insurance policies, real estate and investments. It is typically wise to make a list of all of one’s assets and then to provide contact information for the beneficiaries so that these family members or friends can easily access them. A will is another important document for naming both a healthcare proxy and a power of attorney should a person become incapable of handling important decisions due to a sudden illness or injury.
By planning ahead, New York parents can have a good idea of what assets they have, the value of these assets and how to appropriately distribute them to their children or other relatives in the event that they die. Failure to engage in estate planning means that the state will have to ultimately decide on who exactly your beneficiaries are, which can sometimes go against an individual’s wishes and, in the process, cause heartache for all family members involved. An understanding of contemporary laws and a willingness to be proactive in will execution can help a person to feel confident that his or her dying wishes will be met one day.
Source: foxbusiness.com, 4 Tips to Begin the Estate-Planning Process, Kathryn Buschman Vasel, Nov. 22, 2013
Death is part of life, yet many people prefer to skirt the topic of dying and focus more on living. Although discussing a loved one’s future passing typically is not the topic of choice at the dinner table for many individuals, failing to talk about this important subject may cause family members more grief than necessary if the loved one were to die unexpectedly in New York. Being prepared by participating in thorough estate planning, including the appropriate will execution , will prevent this from occurring and provide a person’s family members with security.
A common myth is that estate planning is only for the millionaire. In fact, more than 40 percent of baby boomers lack wills. However, people of all economic backgrounds can benefit from drafting and executing wills because most people own some type of property.
As a result, more people may wish to be proactive about protecting and distributing this property to the intended people, with minimal tax consequences. A will not only helps to protect an individual’s property, but it can also designate who will become the guardians of young children who are left behind if both parents die. The lack of a will means that issues of guardianship and ownership of remaining property may be decided by the state through the process of probate.
With proper will execution, a person can feel sure that his or her possessions will go to the right family members or organizations upon his or her death. Leaving the state to make a decision regarding who will get one’s property or care for one’s children in the event of his or her death is risky because the state may make choices that the person would not have wanted. Knowing and applying estate planning laws in New York allows an individual today to control who will receive his or her assets in the future.
Source: The Scranton Times-Tribune, Do You Need Estate Planning? , No author, Nov. 17, 2013
When a person begins to realize that he or she is not invincible and that death can strike at any moment, the importance of estate planning can become a reality. Even though death is not a pleasant topic, the idea of not being prepared in the event may cause anxiety. Most people in New York do not want to leave their close family members without access to their remaining assets. Research shows that proper will execution is important at any age and at any income level.
The complex process of probate may cause a person’s assets to be dispersed to unintended individuals if a person does not have a will in place prior to his or her death. Not having a will can lead to stress and hardship for family members who are already grieving over the death of a loved one. Many believe that estate planning is only a necessity for wealthy individuals, but this is not true.
In addition, people of all ages need estate plans — even those who are as young as their 20s. This is because a will can include a medical directive, which is necessary if the person becomes injured or ill unexpectedly. Young couples also need estate planning to make sure that their property ends up in their children’s hands and that their children are cared for in the event that both parents die.
Will execution allows people in New York, regardless of their stage in life, to be confident that their loved ones are taken care of when they die. A will can essentially be a gift to grieving family members, as they can effortlessly enjoy the assets that have been reserved for them. They can also avoid having to deal with the troubling uncertainty of what should happen to valuable items that their deceased loved one worked hard to procure.
Source: statesmanjournal.com, My passion: Importance of estate planning , Eden Rose Brown, Nov. 9, 2013
People who have accumulated a large number of assets throughout their lives or who have high-value assets may be concerned about who will claim all of their property when they die. Will execution in New York is critical, particularly for individuals who are wealthy but also for anyone who has assets that he or she wishes to transfer to particular beneficiaries. One recent article explains the value of estate planning and provides tips on how to approach it.
Estate planning, particularly for the wealthy, helps people to control how their assets are dispersed. It also allows them to reduce the impact of federal and state taxes on their estate when they die. Effective estate planning can include using traditional life insurance and credit-shelter trusts.
There exist more complicated ways to transfer property for wealthy individuals who prefer to take advantage of these. Still, no matter what route is taken, the highest priority should be placed on making sure certain family members or other individuals or organizations receive the money and other left-behind property that one wishes to give away; this is a more important goal than tax mitigation. However, the most effective estate plan achieves a person’s wealth-transfer goals while still allowing the individual to simultaneously reduce his or her tax liability efficiently.
The thought of dying and leaving behind loved ones and prized possessions can be hard. However, with proper will execution , a person can be prepared for inevitable death and ensure that all of his or her assets end up in the right hands. A comprehension of today’s laws related to will execution can make sure that individuals in New York are aware of all of their estate planning options so that they make decisions that maximize both tax benefits and their personal wishes.
Source: Forbes, What Is Estate Planning? , Russ Alan Prince, Nov. 4, 2013