Article provided by: Hunt Group Private Wealth
You have worked to build your wealth, but do you know that estate planning is essential if you want to preserve your assets and protect your family's future? Estate planning is the best way to protect your wealth. It ensures you're able to pass your wealth on to your heirs at the time of your death, and minimize tax obligations in the process.
Why Do I Need Estate Plan?
Everyone dreams of having an estate, whether you're rich or poor. The estate is made up of everything you own, including your home, your car, your life insurance, and many more. And as such, you'll need a plan on what will happen to this property when you can no longer use it. People engages in estate planning for several reasons:
- Protect their assets
- Preserve their legacy
- They want to preserve their wealth
- Avoid putting a burden on their families
- Make sure their kids are well catered for
How To Protect Your Wealth With Your Estate Plan
There are several ways to protect your wealth, but the right strategies will provide reliable protection, while a wrong decision wealth can result in disaster. Below are some estate planning tools that can protect all you have worked for:
- Wills and trusts
There are differences between wills and trusts. A will is a document with instructions on how you wish your assets to be distributed when you are dead. Trust can help you avoid probate, and lets you distribute assets according to your wishes and needs in an efficient way.
- Power of attorney
A power of attorney protects your assets if you are not able to make decisions related to their distribution or management. You appoint the right person to make decisions that protect your wealth.
- Pay-on-death accounts
Pay-on-death accounts are used to transfer assets related to retirement and banking accounts. This helps you to avoid the probate process and allows you to distribute those assets to a beneficiary.
- Small-estate provisions
Small-estate provisions help you avoid the probate depending on the size and type of assets contained within your estate. Your attorney is the right person to determine if this strategy is right for your situation.
What Will Happen Without A Plan?
Creating an estate planning gives you and your family the financial wealth you need. You are at risk of the following if you currently don't have an estate plan.
- The burden of making medical decisions will fall on your immediate family.
- Dying without a will leads to an intestate distribution.
- Your estate will end up in probate.
- Give power to the state to decide what to do with your property without consideration of your perspective.
Is There Any Help Out There For You?
There are many organizations available that can deal with estate planning. If you need help with estate planning in Grande Prairie or the surrounding area, Hunt Group Private Wealth can assist with every aspect of estate planning to ensure that your wealth goes where you want it.
Estate Planning Grande Prairie
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