Why Create an Estate Plan?
An estate plan is a vital tool to ensure your assets will be disposed of according to your wishes when the time comes.
While many think estate planning is just for the wealthy, it can benefit anyone, whether they are leaving behind millions in assets or just a vacation home. At some point, everyone should give serious thought to their estate plan. Not only could taking these steps save your family hundreds of thousands in federal estate taxes, but also protect the relationships you cherish the most by clearly detailing how these assets should be passed on according to your wishes.
The rationale for creating an estate plan is often motivated by a desire to provide financial assistance to dependents and heirs. Money can be a blessing or a curse. Just as lottery winners often end up arguably worse off down the road, an inheritance can cause more problems than it solves. Every situation is unique, but sometimes it makes sense to structure a trust for an inheritance in such a way that a child or grandchild inherits one third at ages 30, 35, and 40 rather than all at once. However, if a trust is set up to accomplish this, we would always recommend to consult with an estate attorney, because once you force distribution from a protected entity such as a trust you will lose the protection from law suits and divorce that the trust provides for the assets it holds.
So how is it done?
Beyond the basics
If you haven’t taken the steps to get an estate plan put in place, or if it has been years since it has been reviewed, it may be time to meet. Please contact us at (925) 659-8020 with specific questions or for more information, email us at [email protected], or contact us today to setup a consultation!