On Estate Planning – Three Important but Often Underexplained Topics
Estate planning is a critical subject for all individuals and families. It’s not just the very wealthy that need to make sure they have advance planning documents in order. Whether you are 18 years old or 100 years old, and whether you have accumulated substantial assets or are just getting started, there are concepts within the umbrella of estate planning that are profoundly important.
1. The Living Will: A Living Will, or as it is commonly referred to, an Advance Medical Directive, is a document that sets forward thoughtful consideration in regard to healthcare preferences. Making clear one’s religious or spiritual wishes, laying out what treatments and courses of care you would choose for yourself if you had the ability, and deciding if you authorize life prolonging measures under certain dire circumstances are just some of the significant topics covered in a living will. When someone is not competent or unconscious and their loved ones are forced to make hard decisions regarding care, the inevitable question comes up: “What would they have wanted?” That’s what this document does – it answers the question and appoints the proper agent and successor agent that is in the best position to make those decisions for you.
2. Digital Estate Planning Considerations: In our increasingly digital world, it's essential to address digital assets in your estate plan. Ensuring your digital footprint, whether it’s your social media accounts, online financial assets, intellectual property, digital files, or even cryptocurrency, is properly cared for in the event of your incapacity or passing away, is very important to the clients we speak to. Drafting instructions on how to handle your digital presence and appointing a digital executor can help prevent complications for your loved ones in the future.
3. Guardianship – Permanent and Temporary: Drafting both permanent and temporary guardianship designation documents is a crucial aspect of comprehensive estate planning, as it ensures the protection and well-being of your minor children in the event of unforeseen circumstances. Permanent guardianship documents establish a long-term plan for the care of your children in the event of your incapacitation or death. This legal designation allows you to choose a guardian who shares your values, parenting philosophy, and is capable of providing a stable and nurturing environment for your children. Failing to establish permanent guardianship can lead to uncertainties and potential conflicts within the family, as well as leaving the court system to determine the best interests of your children, which may not align with your wishes.
In addition to permanent guardianship, including provisions for temporary guardianship in your estate planning is equally important. Temporary guardianship documents come into play in situations where the permanent guardian is temporarily unable to fulfill their responsibilities, such as during periods of illness, travel, or any other short-term incapacity. This ensures that your children are taken care of by someone you trust, even in situations where the designated permanent guardian may be unavailable. Having both permanent and temporary guardianship designations in place provides a comprehensive framework that addresses various scenarios, offering greater peace of mind for parents and helping to prevent potential disputes among family members during challenging times.
At Wakefield Law, we think it’s incredibly important to work with our clients in an effort to understand these documents and know how to wield them going forward throughout life. Having the documents is important, but knowing under which circumstances certain documents are useful is just as important. If you’d like to learn more, give us a call to set up a free consultation. 703-771-9740