Between brainstorming this week’s dinner meals and keeping up with business clients or work tasks, people in Texas may not feel that they have enough time to put together estate plans. In addition, some individuals feel that estate planning is unnecessary since they aren’t rich or because they’re single. However, creating an estate plan is essential for all legal adults who have assets.
Over half of Americans have done no estate planning, according to research. Estate planning involves putting together three important documents. The first is a financial power of attorney, which names a person to manage one’s financial affairs if one becomes incapacitated. These financial matters may include getting bills paid, for example.
The second important document is a health care power of attorney. If a person becomes incapacitated, this document explains his or her desires for medical care. It also states the individual or people who are allowed to make health care-related decisions on the individual’s behalf.
The final important estate planning document is a will; wills are essential whether a person has $10,000 or $10 million in assets. Assets can include investments and cash as well as automobiles and houses. If a person lacks a will, then the state will determine how his or her assets will be passed on. This may cause conflict between the deceased person’s children and his or her surviving spouse. It is within the right of an individual in Texas to pursue his or her best interests as well as those of his or her family members by creating a comprehensive estate plan.
Source: tampabay.com, “Everyone — rich or poor — should have an estate plan“, , July 16, 2014