There are good reasons to have a solid estate plan. Keep the money in the family, provide for your own disability and disability of your loved ones, save money on estate taxes and save your relatives from the hassle of the courts. This is what a good estate plan can accomplish:
- Avoid the Probate Process – The probate court process can cost upwards of 3-5% of the estate and can take more then one year to complete. Meanwhile, restrictions will be placed on the estate and the court file will be available for anyone to look at. All of that can be easily avoided with a trust.
- Keep the Estate to Blood Relatives – If you die without a proper estate plan, the estate can go to an in-law in the event of the child’s death or divorce, to creditors, or to your spouse’s children from another marriage. A trust will make sure that your estate goes to your children and grandchildren.
- Save Money on Estate Taxes – New York and federal estate taxes can take up to 40% of the estate. Proper planning will defer estate taxes for a generation and secure significant tax savings.
- Plan for Minor and Disabled Children – Protect children with a trust managed by someone who loves the children and a trusted financial advisor. If you have a disabled child, make sure that their inheritance will not disqualify them from Medicaid and SSI.
- Plan for Your Own Disability – Planning for disability is even more important then planning for death. When people become too incapacitated to make their own decisions, the state may appoint a guardian to take charge of their personal and financial affairs. To avoid that outcome, you need to execute a Power of Attorney to appoint a person you trust to make financial decisions if you are unable to do so yourself. A healthcare proxy, living will and a HIPAA form will insure that your family can make healthcare decisions.
To discuss your estate plan, call the Law Offices of Albert Gurevich at (516) 777-0647 and speak to a Long Island estate planning attorney.