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MCFARLAND, GOULD, LYONS, SULLIVAN & HOGAN, P.A.,
ATTORNEYS AT LAW Serving the Tampa Bay Area For Over 45 Years |
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Estate Planning Newsletter
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Spring 2006
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Just this week I received a call from a potential client asking me to describe what type of planning or documents encompass the term “estate planning.” After our discussion, I began to wonder how many other individuals have questions regarding what estate planning really means and whether they have made all the necessary arrangements for their assets to pass to their intended recipients and for their own health decisions to be observed if they were to become incapacitated.
“Estate planning” is the creation of a definite plan for managing your wealth while you are alive, and distributing your assets after your death. Estate planning should also involve making legally binding health care decisions for yourself in case there is a time when you are unable to make these decisions later in life.
Estate planning is one of the most important steps you can take to make sure your property and health care decisions are honored. A comprehensive estate plan can resolve a number of legal questions that arise when someone dies such as: What real and personal property do they own? What individuals are to get which assets? Do they wish to be buried or cremated? Have they made funeral arrangements? Who should administer the estate? If they had minor children, who is to be the guardian?
Thorough estate planning also answers health care questions in cases of incapacity such as: Who has the authority to meet with doctors and authorize treatment? Do they want to be kept alive through extraordinary measures if they are in a coma or permanent vegetative state?
Your “estate” basically consists of all property owned by you at the time of your death, including: real estate, bank accounts, stocks, securities, life insurance policies, and personal property (such as jewelry, automobiles, and artwork). Your estate for purposes of probate or estate taxes (if applicable) however may be defined differently.
What are the Benefits of an Estate Plan?
Regardless of your age, or the size and complexity of your estate, an estate plan can accomplish (1) the distribution of your property to the persons or institutions of your choosing, (2) minimizing the amount of estate taxes (if your estate is subject to estate taxes), (3) avoiding the costs and delay of probate, (4) dictating what, if any, life prolonging procedures you would like utilized if that time comes, and (5) outlining your final arrangements for burial or cremation.
Are Changes Needed in Your Existing Estate Planning Documents?
As a new year begins, now more than ever it is time to reflect on changes that may have occurred over the last few years and to determine whether changes are needed in your existing estate planning documents. Such changes what warrant a review and revision of your existing estate planning documents may be the following:
| Changes regarding Children, Grandchildren, Other Beneficiaries: Births, deaths, relocation, marriage, divorce, adoption, illness, economic changes, changes in your relationships with previously named beneficiaries, new financial responsibilities you want to provide for after death |
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| Changes in Your Economic or Personal Health: Material increase or decrease in wealth, insurance changes, employment changes (retiring or new benefits), change in your or your spouses health, changes in your children’s health, death of trustee, personal representative or previously named beneficiary |
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| Issues to Address: Do you want to make changes regarding your named personal representative, trustee, and beneficiaries? Do you want to provide for a charity under your will or trust? Has your financial situation changed so you now should consider tax planning for your estate? Have you named a beneficiary for your IRA, retirement plan and life insurance and are those named beneficiaries still living? Have you completed business succession planning if applicable? Have you provided for minors or incapacitated individuals and does that planning take into account individuals on assistance or with other special needs? Are you taking full advantage of tax planning? |
For more information on how we may assist you with your estate planning needs, or if you would like to schedule a complimentary 30 minute estate planning checkup, please contact Barbara J. Wolodzko, Esquire at (727) 461-1111.
Please visit our website at www.McFarlandGouldLaw.com to review our upcoming list of seminars, estate planning articles, previous newsletters, and other helpful information and resources. To receive future newsletters and seminar dates, please contact our office by email at Firm@McFarlandGouldLaw.com or by calling (727) 461-1111.