Top Four Reasons To Draft An Estate Plan

It is important for everyone to have an estate plan. Even when a person has minimal property, such as a vehicle or a bank account, drafting an estate plan ensures their wishes are upheld when the assets are distributed. Still, too many people do not create a plan due to a lack of time or knowledge, fear of talking about the inevitable, or the perceived cost. Regardless of the reason, it is critical that everyone has a plan in place. Below, our Daytona Beach estate planning attorney outlines four of the most important reasons to draft your plan.

Avoid Family Disputes 

When a person passes away without a will or other estate planning documents, there are many decisions that must be made regarding their estate. One of these is who will be appointed as the personal representative. This is the individual who will administer the estate.

Multiple people often petition the court to be appointed personal representative. They may simply want the appointment, or they may think it gives them an advantage over the property. While this is not true, it can still create disputes in the family. Leaving clear instructions in a will that names a personal representative, along with how property should be divided, can avoid these disputes.

Avoid Probate 

Probate is the process that administers a deceased person’s estate, appoints a guardian for minor children, settles debts with creditors, distributes property, and more. Probate is not always necessary and in fact, it can be expensive and time-consuming. The high cost of probate is paid by the estate, depleting the property within it and leaving less for the beneficiaries.

There are ways to avoid probate but they can only be implemented before a person passes away by drafting an estate plan.

Asset Protection 

A revocable trust is an estate planning tool that has many benefits, including asset protection. While these tools will not provide asset protection during your lifetime, they can provide your heirs with asset protection. If you have unpaid debts, creditors can try to claim property within a trust during your lifetime to recover the debt. However, revocable trusts become irrevocable upon your death and so, the property within one is protected from creditors, meaning you can leave more for your beneficiaries.

Control of Distribution 

If you do not create an estate plan during your lifetime and you pass away, Florida’s intestacy laws will determine how your property is divided. The law may not align with your wishes. By drafting a will or trust, you can leave clear instructions about how you want your assets distributed. These estate planning documents take precedence over the law.

Call Our Estate Planning Attorney in Daytona Beach Today 

Having an estate plan is important but they are only valid and enforceable if they are executed properly. At Bundza & Rodriguez, our Daytona Beach estate planning attorney can help you identify your goals and advise on the documents that can help you achieve them so you and your family are protected. Call us today at 386-252-5170 or fill out our online form to schedule a consultation and to learn more about how we can help.

Source:

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0700-0799/0732/0732.html