Estate Planning
Estate planning
Estate planning in simple terms refers to the passing assets / investments down from one generation to another. You decide how much of your estate – be it property(s), car(s), personal accolades, financial investments, etc. – you want to pass on to whom and how, after your demise.
An estate plan is a collection of documents that protects your assets and personal property (your “estate”) and explains how you want to pass them down. It documents your wishes and specifies exactly who will guard those wishes and act on them in your absence.
How to Get Started With Estate Planning
1. Begin to calculate your worth by creating a list of all of your financial assets, personal property, and document liabilities
2. Ask a financial professional to refer you to a qualified estate planning attorney
3. Determine (or update) your beneficiaries
4. Revisit your estate plan regularly
How Life Insurance and Annuities Can Help With Estate Planning
Life insurance and annuities can play an essential role in estate planning. Life insurance can provide a source of income for surviving family members. Proceeds from life insurance can typically bypass the probate process (the distribution of an estate) so they can provide an immediate source of cash that survivors can use to pay off taxes or remaining debts, such as a mortgage.
Annuities with a named beneficiary can generally avoid the probate process, potentially providing income directly to beneficiaries without delay.
Talk to a financial professional to learn more information about the importance of estate planning and partner with other professionals to help you develop an estate plan.