The importance of proper estate planning need not be worried. When you hear the word estate, it refers to everything you worked hard for. There is no negating the importance of creating an estate plan. Whether your net worth is gargantuan or whether you're living paycheck to paycheck, it's critical that you have at least a basic estate plan in place. Doing so will ensure that your financial goals are met after you pass away.
Below are some guidelines on how to get started.
Components of an Estate Plan
Your estate plan will include a will, copies of all financial documents, a durable power of attorney, and a healthcare proxy. You can also get info about estate planning via http://speedwelllaw.com/alexandria-estate-planning-attorney/.
Get Your Plan Together
After having gathered copies of all financial documents including life insurance policies, all bank and investment account information, all debt information, you can reasonably estimate how much you'll have left over to leave to loved one.
Formalizing Your Estate Plan
Once you feel comfortable with the will you have put together, make sure to notarize the documents with at least two witnesses present? Keep in mind that no beneficiary should serve as a witness. Make sure the person you name as executor is willing to do the job and is someone you trust.
Review and Re-review Your Plan
After you've drawn up and formalized an estate plan, you might think you're all set. Unfortunately, that's not the case. Unless you know that you will be passing in a short amount of time, it is important to go back and review your estate plan every few years.