Estate planning is a difficult subject to introduce at the table, especially for children. It is natural to wonder how children will handle the estate of parents after their lives or during a time of mental incapacity. It is also important because a good estate plan when someone can make one is an investment for a time when others will have to make decisions.
How is estate planning an investment?
Beyond the time investment or emotional distress of dealing with insecurity, many estate plans end up saving money in the long run. For example, the expense of creating a revocable trust may be far less than the potential cost of probate court proceedings.
What are the circumstances that may need a more robust estate plan?
For the moment, the federal estate tax is assessed on estates worth more than $11.18 million. People with estates of greater value may seek to create trusts with some of the excess or make gifts during their lifetimes to charitable organizations, other institutions and individuals. Tennessee also allows couples to make some real estate community property, which lowers its tax liability in an estate.
Who can help create the right estate plan?
Accountants and financial professionals can often supply the information required to assess an estate. Legal representation is perhaps the most important step that a person or family can take towards a solid estate plan. An attorney can advise on and execute the many possible forms that effective end-of-life planning, trust creation and other parts of the estate plan require.