Estate planning is something that you know you need to handle, and you may think you have under control. You may even have a checklist of your estate planning needs ready for your probate lawyer. What you may not know is that you could be leaving off several key points from your estate planning checklist. Here are those key points and what to consider about each one.
If you are paying a mortgage on your home, you need to consider how that payment will be handled in order for your family to maintain the property. If life insurance covers the remaining mortgage amount, you will need to have that information in your estate planning. This information should include who to contact for that payment and any notes regarding the payment time frame and related issues.
If your life insurance does not cover the remaining payments on your mortgage, you need to determine how they will be handled. Remember, some companies will require a new credit check to place the payments in their name if the home is to go to another family member upon your death. If this will be an issue, discuss that issue with your probate lawyer.
There is a misconception that you can not obtain more life insurance coverage after a certain age. The truth is, if you have certain expenses you would like covered after death, you may be able to get additional or supplemental life insurance plans. These plans are generally small and do fall under term life guidelines.
Ideally, in order to plan for this, you will need to list the expenses that will not be covered from current financial options. You can then take those expenses to your estate planner to determine what options may be available. Once you have options in place to cover all the expenses, you can have your estate planner place the documents related to each payment option into your estate planning file. This will act as a point of reference for your executor or your family upon your death.
You may feel that you are in good health and that your death will likely be of natural causes. However, there are times when that may change unexpectedly. This health change could lead to several different changes in your estate planning. For example, if you fall ill in and need someone to handle your health options and estate, you will need to have a medical power of attorney.
In addition to that probate need, you may also need to have certain clauses added to discuss how to handle medical situations. These situations are living wills, selling of property for assisted or long-term care, and other related medical considerations. This should also include who has the right to make these choices if you are unavailable to make them.
You may not want to think about a time when your finances are not secure, even with you. In a case where you are not able to handle your finances, such as Alzheimer's or other illness, you will need someone who can make the choices in your place. This person needs to have your best interest in mind, and needs to know how you want things handled should they need to step in.
For this reason, you need to have a financial power of attorney in place. Your probate lawyer can draw up the paperwork and file it when the time arises. This will give you the peace of mind that your finances are taken care of, even in the worst of circumstances.
These are just four of the key points you may be leaving off your estate planning checklist. If you aren't sure you are covering the key points that apply to you, consider speaking to The Law Office of Carla D. Allen. They offer various services that can help you with your probate needs,
estate planning, and conservatorships.
