Allard LTD. CPA & Financial Services

(952) 895-0895

Estate Read Time: 3 min

Critical Estate Documents

Financial Documents

 Joint OwnershipDurable Power of AttorneyLiving Trust
What does it do?Enables you to own property jointly with another personAuthorizes someone to handle legal and financial decisions if you become incapacitatedHolds your belongings until your death
Can it authorize someone to handle your financial affairs if you are unable to communicate?Generally, nocheckGenerally, no
Can it specify how you want your belongings transferred after your death?check
But only those belongings owned jointly
Generally, nocheck
Is it private?checkcheckcheck
When does it go into effect?As soon as joint ownership is recordedEither immediately or upon a specific trigger event (such as your incapacity)When the document is signed and the trust is funded
Does it require court involvement?NoNoNo

Health Care Documents

 Living WillPower of AttorneyPower of Attorney for Health Care
What does it do?Provides specific instructions about medical care and artificial life supportAuthorizes someone to handle legal and financial decisions on your behalfAuthorizes someone to make health care decisions on your behalf
Can it outline your medical wishes if you are unable to communicate?checkGenerally, noGenerally, no, but it does authorize someone to make medical decisions on your behalf
Can it authorize someone to handle your financial affairs if you are unable to communicate?Generally, nocheckGenerally, no
DurationNo expiration; can be revised or revoked at any timeDepends on specifics in the document; can be revised or revoked at any timeDepends on specifics in the document; can be revoked or revised at any time
Is it private?checkcheckcheck
When does it go into effect?Upon your incapacityEither immediately or upon a specific trigger event (such as your incapacity)Either immediately or upon a specific trigger event (such as your incapacity)

Note: Power of attorney laws can vary from state to state. An estate strategy that includes trusts may involve a complex web of tax rules and regulations. Consider working with a knowledgeable estate management professional before implementing such strategies.

The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

 

Related Content

RE: Retirement

RE: Retirement

How does your ideal retirement differ from reality, and what can we do to better align the two?

4 Elements of an Estate Strategy

4 Elements of an Estate Strategy

Learn about the importance of having an estate strategy in this helpful and informative video.

What to Do When You Lose Your Wallet

What to Do When You Lose Your Wallet

Ever lost your wallet? Frustrating. Here’s what you can do to keep yourself safe.

 

Have A Question About This Topic?







Thank you! Oops!

Key Money Moments: 4 Times You Should Talk to a Pro

Life happens fast, and your finances can take a backseat if you’re not careful. Is it time to check in with a financial professional? This infographic will help you examine your own financial situation and decide if it’s time to step up your financial game.

Good Health is Good Business

Good employee health can be great for the company’s bottom line.

Test Your Life Insurance Knowledge

How much do you know about one of the most important tools you have to help protect your and your family’s financial future?

View all articles

Comparing Investments

This calculator compares the net gain of a taxable investment versus a tax-favored one.

Impact of Taxes and Inflation

Estimate the potential impact taxes and inflation can have on the purchasing power of an investment.

Self-Employed Retirement Plans

Estimate the maximum contribution amount for a Self-Employed 401(k), SIMPLE IRA, or SEP.

View all calculators

Your Cash Flow Statement

A presentation about managing money: using it, saving it, and even getting credit.

5 Smart Investing Principles

Principles that can help create a portfolio designed to pursue investment goals.

5 Smart Investing Strategies

There are some smart strategies that may help you pursue your investment objectives

View all presentations

Choosing a Mortgage

Selecting a mortgage isn't an easy process. Get a better understanding of how professionals make the right decisions.

It Was the Best of Times, It Was the Worst of Times

All about how missing the best market days (or the worst!) might affect your portfolio.

Exit Strategies of the Rich and Famous

Estate conservation is too important to put off. Do you have a smart exit strategy?

View all videos