| |
| |
|
Personal Finance Information brought to you by credit cards 101 |
|
|
|
Estate Planning Basics
You have probably accomplished a great deal with your life. Over the years you have worked, planned and saved. Perhaps you have even made some sacrifices to achieve your current level of success. It's a sure bet that you will want to pass along your accumulated assets rather than hand them over for court costs, taxes or attorney fees. Estate planning is the relatively simple process by which you prepare legal documents outlining your wishes for your estate upon your death. It can be difficult to plan for the end of your life, but this planning is necessary to protect your family and your assets. What is your estate? Your estate refers to your property, those things you own, including your total assets and liabilities. Your property includes your home, car, accounts (i.e. bank, retirement, and brokerage), jewelry, insurance policies and so forth. The language of estate planning It is understandable that the idea of planning for your family after die can be a little frightening. Familiarity with the terms used in estate planning will help you begin to develop some comfort with the process. Estate: Refers to your property or those things that you own. Property: Includes two categories, real (as in real estate/your home(s) and personal, which includes everything else such as stocks, bank accounts, car(s), jewelry, and so forth. Intestate: Is a pre, or non-planning state. Dying intestate means that you have died without creating a will or trust to outline your desires for distribution of your estate. Trust: Eliminates many of the financial risks in planning for the transfer of your estate from you to your heirs upon your death. Risks include taxes, probate, lawyers, creditors, judgments, etc. A trust can provide for the management of your estate if you become incapacitated as well reduce death taxes and assure a smooth transfer of your property according to your wishes. Trusts can be revocable or irrevocable. Talk with your tax or legal advisor about the benefits of each. Probate: The process by which your personal property is legally transferred to your heirs upon your death. The probate process also identifies rightful heirs and determines how your assets will be distributed among them. Probate can be quite expensive (up to 10% of the net worth of your estate) but the expense can be avoided with estate planning. Will: A written, legal document outlining your wishes for your real and personal property upon your death. You can also appoint a guardian for any minor children. Beneficiaries: These are the people you assign to benefit with distribution of your real and personal property upon your death. Your will can be an important tool of your estate plan. The goal of the estate plan is to allow you, rather than probate court and attorney, to maintain control of your assets. Planning allows you the opportunity to set forth clear directions and desires for your assets in the event of your death or physical or mental incapacitation. Estate planning is a necessary and painless process. You will afford yourself peace of mind and you will smooth the road for your heirs in terms of property transfer upon your death. Amy Nichols is a freelance writer and contributing author to http://www.howtowriteawill.com, a site providing free estate planning tips and information.
MORE RESOURCES:
Personal-Finance - Google News |
|
|
|
RELATED ARTICLES
Students Investing in Their Future Need to Manage Their Finances Today With the A-level results coming out, the long wait for UK school leavers hoping to go to university will soon be over. All the hard work that has been put into achieving the grades required will now pay off and the fun and freedom that is student life can begin. Financing Collectibles for Fun and Profit With the advent of the internet and especially auction services like those provided by Yahoo and E-bay, serious collectors have much larger arenas in which to buy and sell their wares. This provides the opportunity for quick discovery of hard-to-find items that previously might have taken years to find. Financial Readiness: Preparing for BRAC (Base Realignment And Closing) The recommendations for military base closings have been released and the news is not good. If the recommendations are accepted, you will lose your job. A Quck Lesson in Saving Money Did you have a piggy bank when you were a child? I did. Mine sat empty for a long time until my mother convinced me that I should really start putting my pennies and nickels into it in order to save my money for when I was older and wanted to buy something. How to Save Money in a Grocery Store Now there are ways to save money in the grocery store, and they may or may not take much effort on your part to learn some great ways to save money. Your greater savings can often be found in the perishable departments of a grocery store. Succession Planning Have you ever thought about what you are going to leave your children when you pass from this earth? Wouldn't it be a great feeling to be able to give them a really good head start in life - without actually spoiling them?It really doesn't matter how old you are, it's something that you need to be thinking about and planning for now. In the process of planning your inheritance and blessing your children, you are really making YOUR life better and more financially secure because you'll enjoy these benefits before you pass them on. The Magic Of Compound Interest Christians are called to be good stewards of God's resources. A steward can be described as someone who manages the resources of another. Understanding and Controlling Your Finances Have you ever wondered what it would be like to be able to have complete control over your finances?If you are like most normal people, you have a job. You go to your job every day. Government Grants - Beware of Scams As the saying goes: "Buyer Beware". If you see ads claiming you qualify to receive a "free grant" for education, to start a home business or to payoff unpaid bills, be wary. How To Survive The Grocery Shopping Blues If you are the normal consumer, then you've probably experienced the Grocery Shopping Blues. Most supermarkets use this trick to their advantage to squeeze more money out of their customers and turn a tidy little profit for themselves. Ways to Save Energy and Slash Electricity Bills 1. Lighting & Light Bulbs Install low energy light bulbs in rooms you use regularly - they last up to 15 times longer than a normal light bulb and provide the same lighting for a quarter of the running cost. Avoiding A Nightmare On Renovation Street You've decided you want a bigger, better and more desirable house. How do you determine when to renovate, what to do and importantly, how much will it cost and will we get our money back?Unless you're in the building industry, most people are fairly naïve when it comes to making decisions about renovating. How To Place an Online Order for Checks - It is Easy as 1-2-3 If You Have an Existing Account and 5 Minutes, You Can Place Your Online Order that Easy!Ordering checks online has become very popular for a number of reasons. The main reason for the majority of people is because they can choose a fun design that fits their personality that is not available at their local bank. Personal Checks - Extreme Benefits Millions of people have a checking account and many people have two of three. They have the choice of choosing a variety of check designs to compliment the checking account. Are You Ready To Be Fired? Your boss has just informed you that your department is being reduced by two and you are fired. After he leaves, what are you going to do? This is not about finding a job it's about being prepared for financial change. Save Your Money, Dont Give to Charity Scammers **If it's Spam, it's a Scam!- If it sounds too good, if it shows up in your bulk folder or your spam folder - don't touch it, just delete it**Check out the charity- You can find some charity info at the BBB site www.give. What is ChexSystems? Commonly referred to as the first of the three major "Check Systems" in the U.S. Budgeting is Essential for a Single Mothers Success Today many women are struggling with debt and it's even harder if you are a single mother trying to support your family. According to the Census Bureau single mothers far outweigh single fathers. Save Money Off Your Home Utility Bills Many don't realize that our basic utility bills provide the perfect money saving opportunity for practically every household!Especially with today's energy crisis so prevalent throughout many of the states, you've probably heard this term - conservation.Guess what, conservation really means "using less". Debt Management - More Ways to Save on Gas Consumption The price of gas continues to climb, and with continued uncertainty in the Middle East, they will probably continue to do so. In California and elsewhere, prices for some grades of gas have now reached the previously unthinkable three dollars a gallon.
|
| home | site map |
| © 2006 |
