Planning for the future is something that has significant benefits in essentially every aspect of life. Planning for the future when you pass away is no different. Taking time to make very clear what you want in terms of your final wishes can save your loved ones a considerable amount of additional stress and conflict during a time when their energy is better spent remembering the joyous moments shared with you and addressing their unavoidable grief.

Your estate plan can be as individual as you are. It can contain several different components depending on what you have as an ultimate goal. A few pieces to consider include:

• Will
• Healthcare power of attorney
• General power of attorney
• Trust

First, powers of attorney are documents that assist in letting others know who can make decisions for you on certain topics if you are unavailable or unable to make decisions for yourself. These documents are only effective while you are alive, and can be extremely important in making sure your wishes are carried out when you are unable to act. For example, if you are in an accident and a doctor needs to make various healthcare decisions, a healthcare power of attorney can instruct both the doctor and your chosen healthcare agent.  

The general power of attorney lets you list who you want to be able to act on your behalf in terms of financial and other long-lasting decisions, such as signing bank documents, real estate documents, or tax documents on your behalf.

A Will, the document that most people think of when the topic of estate planning is brought up – is the document that allows you to say how you want your things to be dealt with once you pass away. Each state has default rules for what happens to someone’s things when they pass, but what if those default rules is not how you would want your things to be distributed? This becomes particularly important when your family makeup is not “clean cut.” It is one thing to only have one heir, such as one child or sibling (with no spouses or parents). However, planning is needed if you have children from a previous marriage or someone else that you consider a child that you have not formally adopted. In those types of situations, it is likely that the state’s default inheritance rules will not be the same as what you may want. Thankfully, the law provides a way for you to override the default rules and say exactly what you want to happen.

A Trust, similar to a Will, allows you to control how your assets are managed and ultimately distributed once you pass away. Unlike a Will, Trusts are private documents that are not required to be filed with a Court and they remove the need to engage in the probate process at all. Trusts can be particularly useful if you wish to establish things that pass from generation to generation, such as family land or special heirlooms.

The time will come for each of us when we pass away. While that time will bring grief to our loved ones, it does not have to bring additional stress, confusion, and conflict. Taking some time to sit with an estate planning attorney to make clear what your wishes are, both when you are unavailable and when you pass away, can remove so much from the plate of your loved ones. When you are ready to take control and make sure your wishes are known and detailed appropriately, we are ready to help put those plans in place.

If you or someone you know would like to learn more about Estate Planning, our Modern Legal Team is here to help.

Please note: these educational materials are based on North Carolina and South Carolina law where my legal practice is based. While the insights may have wide applicability, readers should consult with an attorney regarding the specific laws in their state or country. 

Written by: Tiffany A. Byrd