An Absence of Estate Planning
Do you have a legal plan in place in case you should end up being psychologically disabled or in case of your death? If not, your household may deal with a long and difficult time in court. When you don’t have an estate plan to handle end-of-life issues such as the distribution of your property and guardianship for your children, state law takes over and chooses the fate of your estate.
The law that governs an estate without an estate plan is called intestacy and this law will identify who gets what, who cares for your kids and even who will oversee the process of distributing your possessions.
That means that if properties need to be sold to pay off existing financial obligations, your household won’t always have a say in which properties get sold. If you have antiques or household heirlooms, they may wind up in auction rather than in your household’s hands.
Not having an estate plan will likewise affect your kids’s well-being. If both you and your spouse die without a guardian plan in location, the court will decide who gets custody of your kids. The person chosen might not raise your children as you would like, or your children may even enter state care if no one is available to take them. By planning ahead, you can choose an appropriate and ready guardian for your children.
When more than one marriage occurs, your estate planning can get a little crazy as you take into account your existing spouse or partner, kids with an ex-spouse, and step-children. However what occurs if you do not have a plan? Your step-children or a domestic partner might be excluded of getting any property or loan. Other relatives that are not immediate household might also be shut out of your estate.
What if you end up being psychologically unsound? Your estate plan can also include a prepare for your care. This medical file may likewise dictate your wishes relating to life support. No medical estate plan in location will imply that intestacy laws and the court will decide who makes medical choices for you.
If the concept of the federal government making choices for you alarms you, and you wish to make sure your family is well looked after after your death, be sure to develop an estate plan today.