Some people think they don’t need an estate plan because they do not have millions in their estate. This is far from the truth. There are many other reasons to make a plan. If you have minor children, you will want to name the person or persons who will serve as their guardian(s) if something happens to you. Does your child have special needs? You can plan so that they can inherit without losing government health insurance and other benefits. Are you part of a blended family? Without the proper estate planning, you may be surprised how Wisconsin state law divides your assets. Do you own a small business? You can avoid having to probate your business assets with the proper tools.
Estate planning is also more than creating a trust or a will.
A comprehensive estate plan includes power of attorney documents that set forth your wishes for your medical care and financial interests if you become incapacitated and names an agent who will ensure your wishes are followed. These documents are some of the most important parts of your estate plan. In Wisconsin, no person – not even your spouse – has the legal right to be involved in your medical decisions or even know about your medical needs if you are incapacitated. You can give someone those rights by naming as your agent in your health care power of attorney.
It is the same for your adult children. Once your child turns 18, you need to be named as their agent in order to be involved in their care. Similarly, no person has the legal right to assist with your financial matters. The documents you need to include in your estate plan will depend on your particular goals and assets. Along with minimizing taxes and fees, effective estate planning can provide guidance, peace of mind, and lessen burdens for your loved ones.