Other sides to estate planning

The last will and testament rank as one of the essential items in an estate plan. The document establishes directives that an executor and the Arizona probate court should carry out after the testator’s passing. While the will is critical to many estate plans, the document has limitations. Thorough estate planning could involve crafting other legal documents that address other matters.

Addressing other aspects of estate planning

As most already realize, a will involves carrying out orders and distributing assets after someone passes away. Several other estate planning documents involve financial and healthcare matters for someone still alive. A living will and a healthcare proxy, for example, deal with medical decisions for someone who becomes incapacitated.

A living will allows someone to establish medical directives that others must follow. A health care proxy transfers medical decisions to another person. Such documents could take strain and stress off family members after an unexpected accident.

A financial power of attorney form gives an agent sweeping authority to act in the grantor’s name. Often, an elderly person may afford POA authority to a trusted child. Sometimes, a younger person might give their parents such power, depending on the situation.

Other estate planning issues to consider

A will might not be the most appropriate document for a particular family. A trust could be appropriate when the testator wants to have more control over the estate even after passing away.

Other aspects of estate planning could involve designating transfers on death beneficiaries to financial accounts. Doing so helps some assets transfer outside of probate.

Estate planning could involve a thorough review of various documents. Choosing the appropriate ones and crafting legally sound versions of them is worthwhile.