Making an estate plan can seem like a daunting, and possibly even depressing, prospect. Many people do not want to have to think about what will happen after they have passed away. However, when you do not make an estate plan, this can put a great burden on your family during their time of grief. Furthermore, taking the time now to plan your estate will ensure that your assets are secured, and that your family is protected, after you have passed on. If you have not previously considered an estate plan, or have believed estate planning is not for you, here are just a few of the reasons why you should consider estate planning in Minnesota.
Decide Who Will Manage Your Affairs
An important reason to make an estate plan is that in doing so, you will be able to decide who is in charge of your affairs should you die or become incapacitated. In the event of such an occurrence, the court will make this decision for you, often choosing your spouse, eldest child, or next closest relative. However, forming an estate plan now will allow you to assign someone power of attorney who you believe will best be able to handle your affairs, rather than whoever the court randomly decides.
Decide What Will Happen to Your Children
If you have children who are still minors, it can be particularly important to have an estate plan, as this will allow you to make provisions for what will happen to them once you are gone. With an estate plan, you can decide who will take care of your children should you pass away prematurely. Additionally, you can make provisions for how much money they will receive from your estate, and at what age they will have access to this money. These are all decisions that the court would make for you after you die; however, making these decisions now will help to ensure that you get to plan the future for your kids that you have in mind for them.
Make Decisions About Your Business
If you own a business, no matter how large or small, it is particularly vital that you have an estate plan dictating who the business will pass on to after you are gone. Should you not name a successor, your business could slip into chaos as your family, and employees, scramble to determine who is in charge, and how to run your business, now that you are gone. With an estate plan, you can dictate specifically who will take over the business for you, and how you would like your business to be run, after you have passed away, helping to ensure the continued stability of your business.
You Choose Where Your Assets Go
Perhaps the most important aspect of an estate plan is that it allows you to decide specifically where your assets will go after you are gone. Without an estate plan, a court will make decisions about your assets in accordance with the laws of your state. However, this could mean relatives you no longer have contact with receiving your money, or your stepchildren being left out of your estate. An estate plan will allow you to choose who is a part of your estate, and how much of your inheritance they will get once you are gone.
Many people have a hard time forming an estate plan, simply because it is difficult for them to imagine what it will be like when they are gone. However, doing so is important in order to protect your loved ones, and in order to ensure that your estate is handled properly once you are gone. Contact us to learn more about why it is so important that you have an estate plan, as well as to find out how you can get this process started.