It’s a common misconception that only those with massive wealth need an estate plan. Estate planning is not just for you but also for your family members and loved ones. Also, contrary to what many people believe, a will is not the only document you need, and because a will has to go through probate, this may not be the right option for you. Your best bet is to work with a Hamilton NJ estate planning lawyer who can guide you on the options, the dos and don’ts. In this post, we are discussing the four estate planning documents you need in New Jersey.
Last Will & Testament
The Last Will & Testament is intended to simplify the distribution of assets and wealth after your death. You can choose the people you would want to inherit your estate. You can also state how much they get and when they get their share. For the document, you must also choose an executor who will ensure that the will is honored. The Last Will & Testament is also a great tool for naming guardians for your minor children in the event of your untimely death.
A Revocable/Irrevocable Trust
You can also create a revocable living trust, where all the assets are placed. Both revocable and irrevocable trusts have a few pros and cons, and you should speak with your attorney to know what’s best for your situation. If you have a revocable living trust, it means that the properties can be retitled back to your name if and when you want.
Financial Power of Attorney
As the name suggests, a Financial Power of Attorney allows you to decide who gets to make financial decisions in case you become incapacitated or cannot make decisions on your own. Because this is such an important document, it is always wise to talk to an attorney to understand the overall implications of your decision. As long as you are capable of making decisions, the Financial Power of Attorney doesn’t come into play.
Medical Power of Attorney
A Medical Power of Attorney allows someone of your choice to make medical decisions for you. If you become incapacitated, an advanced healthcare directive will ensure that your loved ones know your wishes. Your doctors will talk to the concerned person before they take a call on treatments and other aspects concerning your health.
In addition to all of the above, you can also consider having a living will.