Legacy planning is a more complete and comprehensive form of estate planning. In this post we will look at some of the differences between basic estate planning and legacy planning.
However, for a start, we will point out some of the main concerns that both forms of planning would address.
Asset Transfers
When you are preparing for the inevitable, you are going to facilitate postmortem asset transfers, even if you want to keep it extremely simple. There are various different ways that you can go about it.
A last will is an option, however a will goes through probate, a process that can be time-consuming and expensive.
Another option to consider is the creation of a revocable living trust. This type of trust would facilitate timely asset transfers outside of probate. It is only a myth that you must be wealthy to need a trust.
People who have more complex concerns could consider the utilization of advanced asset transfer vehicles. There are tools that can be used to gain estate tax efficiency, and you can also protect assets from litigants.
There is an asset transfer tool that is appropriate for every type of circumstance, so you should understand your options before you make any decisions.
Incapacity Planning
Everyone should prepare for latter life incapacity. When you create an incapacity plan, you could execute durable powers of attorney. With these documents, you name agents that could act on your behalf in the event of your incapacitation.
We should point out the fact that a disability trustee could be empowered to manage assets in a revocable living trust in the event of the incapacitation of the grantor.
Legacy Planning
A legacy plan could take things a few steps further. For example, some people want to be remembered for their generosity. If you are in this category, your legacy plan could include acts of charitable giving.
Legacy planning can also involve the careful distribution of family heirlooms. These items tell a tale about your family history, and they are truly priceless.
An ethical will can be part of your legacy plan. These wills date back to biblical times, and you share your moral and spiritual values when you create an ethical will.
You could also write your personal memoirs when you are crafting your legacy plan. If you take the time to record your formative experiences, your loved ones will be able to draw from these meaningful memories even after you are gone.
Legacy Planning Consultation
We have provided a very basic overview in this blog post. If you would like to discuss legacy planning with a licensed professional, send us a message through our contact page to set up a free consultation: Grand Forks ND Legacy Planning Attorneys.
- Planning for the Sandwich Generation - May 28, 2020
- Choosing the Right Fiduciaries - May 26, 2020
- Shrunken Asset Values Open Estate Planning Opportunities - May 21, 2020
