When you hear “estate planning,” what comes to mind? Most people probably think of a will or a trust. There’s a lot more, however, to a complete estate plan. Have you included these three things in your estate plan?
1) Digital Assets
Today, people own more and more digital assets, such as images, text files, social media accounts, Web sites, and more. You should create a list of your digital assets and directions on how to access them. If you pass away suddenly, then would your family know how to access your digital pictures or your social media accounts? How about the Web site for your company? You will want to make sure you understand what you own, create a plan for your family to access that property, and memorialize those directions and your consent in a legal document.
2) Long-Term Care Planning
Many people don’t believe they need long-term care planning, but this is a crucial part of a complete and effective estate plan. With people living longer, you need to be prepared for the cost of life after retirement. Unfortunately, we never know what the future holds and what type of care we may need. Whether it’s a physical ailment or dementia, many people, at some point, will need help. The cost of long-term care is not cheap. But here’s the upside: With investments such as long-term care insurance, we can make a plan to take care of you, while preserving your assets for your loved ones. Don’t skip this crucial step in formulating your estate plan!
3) Life Insurance
Life insurance is a simple, effective way to ensure your family is financially stable after your passing. There may be times where you need to increase your life insurance, such as when your family expands to include more children or grandchildren. You’ll also want to ensure your beneficiaries are up-to-date and you have backup beneficiaries. While you’re reviewing this, we recommend that you review your “pay on death/transfer on death” designations for assets such as bank accounts, retirement accounts, stock options, etc. All of these will go directly to your beneficiaries, meaning the money gets to your family faster and they avoid the cost and headache of probate.
Have you accounted for all of these things in your estate plan? If not, then call or email us, and we’ll ensure your estate plan is up-to-date and complete.