Everything Need To Know About Estate Planning

What is Estate Planning?

Estate planning is the settlement of an individual’s estate after their death. It transfers their estate according to their will and intestacy law. An estate contains both houses and investment properties along with personal properties such as bank accounts, jewelry, automobile, etc.

Purpose of Estate Planning:

The purpose of an estate plan is to minimize the probate process along with its expenses and delays. Other than that, creating a will with an NGL estate planning company will also eliminate the fear of loss of privacy or finances.

Estate planning is required by people who have large estates or modest assets. Having a proper estate plan ensures that all the property will be transformed and distributed as per the wish of the deceased. The distributors also make sure that those who are benefitting from the estate should receive it with minimum delay.

Process of Estate Planning:

The process of estate planning involves the suggestions of consultants and advisors accompanied by financial counselors and life insurance representatives. Most of the times lawyers and accountants are also involved in the process. Main things to consider while creating an estate plan are:

Consider making a will and stating that who will get to inherit your property. Also, mentioning the name of the guardian for your children.

Make sure to have a living trust. It is a legal document where a person mentions the name of individuals who will get to receive the property of that person. In this way, the transfers will not get delayed through probate court visits.

Having a financial power of attorney will allow a trusted person you name, to handle your finances and property if your health deteriorates.

Making a health care directive means to take medical decisions for yourself in the future if you become unable to because of your health. Other than that, you can also mention someone you trust to take decisions for you.

Ensure that you protect your children’s property if they are not adults. Once they turn 18, they can get hold of what was written for their names.

Secure your estate tax, house, or significant debts by having secured life insurance. Cover your funeral expenses by opening up a payable-on-death account at a bank and deposit funds in it.

Updation of Estate Plans:

Estate plans are supposed to be reviewed with time, however, the time to review a state plan varies. If an estate plan becomes 3 years old, then it’s time for you to review it with your life insurance company.

Estate plans are often reviewed after the occurrence of specific events in life such as buying a new property or investing in a new estate. You will also need to update your estate plan if you move out to another state, as estate planning laws aren’t national.

The laws vary because of other elements that include power of attorney, advance medical facilities, different orders in testament and more.

Estate planning with NGLIC assures you that your loved ones are secured financially along with many advantages such as tax-free protection for beneficiaries.

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