ARTICLES

As part of your estate planning process, you should implement Power of Attorney (POA) documents. Powers of attorney are recognized in all states, but the rules and requirements vary from state to state. This document gives one or more individuals the authority to act on your behalf as your agent or proxy.

Several financial experts advise against delaying discussions with your aging parent about finances, since he or she may already be experiencing cognitive decline. Gathering all the information you need to make a complete financial assessment of their aging needs is going to take some time. Asking these questions when your parents are young, while they are still working, is the ideal time to do so.

In estate planning, there are a variety of trust types; the most common are revocable and irrevocable. These two major categories of trusts share some similarities, but they serve different purposes in your estate plan. A trust or will are both alternatives to a last will and testament when it comes to distributing property, although a will and a trust are often used simultaneously.

Being a divorced parent can be challenging, especially when one of the parents defaults on custody arrangements or financial obligations. In these situations, divorce merely changes the situation instead of resolving it. It is important to make your decisions based on your head rather than emotion, and to get qualified legal advice.

A financial time like this has never existed before in human history. Baby boomers preparing to pass on their legacies through estate plans put America on the verge of the largest transfer of wealth in history. According to projections, 68.4 trillion dollars will be transferred from one generation to the next over the next 25 years.

Charitable trusts are irrevocable trusts that provide income to heirs while benefiting charities. A charitable trust can provide a number of financial benefits for all those involved if you are philanthropic and own non-essential assets such as stocks and real estate.

After you pass away, your loved ones shouldn't have to inherit assets only to find out they can't access them for financial expenses they will incur. For retirees, most assets consist of homeownership and retirement accounts, which must be sold to gain access to cash. When managing and distributing your estate assets, life insurance can provide the liquidity you need.

Planning your estate ensures that your assets, interests, and loved ones will be protected when you pass away. Individuals often make costly estate planning mistakes without the guidance and advice of a qualified estate planning lawyer. Poor planning can create additional distress for your heirs during a time of grief in addition to undermining your intentions and diminishing your financial legacy.

In record numbers, older Americans are experiencing widowhood or divorce, causing them to form new partnerships. In the United States, the US Census Bureau reports that more than half of all older adults have only been married once, choosing to remain legally single in the future. Without a legally recognized civil union, marriage, or domestic partnership certificate, cohabitation can have unforeseen and unintended consequences.

I can't decide which of my two children should be my power of attorney when I need help paying my bills and talking to doctors. Can't I just name them both? You can, but please don't.