Many people put estate planning aside as a "to-do" item that they need to take care of at some point, but it's a good idea to have a plan in place. This can save you time, money, and taxes in the future, as well as lessen the risk of family disputes.
The creation of an estate plan is one of the most important things that a business owner can do to ensure that their assets are properly distributed and their beneficiaries are protected. The process of preparing for succession can include things like creating a will or trust, making provisions for heirs to receive their inheritance, and creating an estate tax plan.
One of the most important aspects of an estate plan is to ensure that your assets are properly titled. This can include things like titling the ownership of a house or a business to a spouse or children, as well as setting up life insurance policies and retirement accounts.
It is also vital to make sure that your business is set up properly for estate tax purposes. If you are a small business owner, you may be eligible for Section 6166 of the Internal Revenue Code which offers a way for you to defer paying estate taxes until your death. This means that you can leave your estate to your heirs tax-free, as long as more than 35% of the value of your adjusted gross estate is from your business.
Another essential component of an effective estate plan is to make sure that your business is operating efficiently and legally. This includes having all legal paperwork, contracts and records organized properly to prevent any unnecessary delays or lawsuits in the event of a transition.
It's a good idea to regularly review your estate plan and make any necessary changes. This can be especially important if you've experienced any major changes in your life, such as the birth of a child, a divorce or a large financial windfall.
An attorney can be an invaluable resource in the process of updating your estate plan. They can help you determine if it is still aligned with your current goals and needs, as well as update it if there are any significant changes to the law that affect the distribution of your assets.
Having an effective estate plan can be difficult, but it is worth the effort. It can protect your assets, secure your beneficiaries, reduce your taxes, and minimize family disputes, as well as help you get your wishes carried out.
When choosing an estate planner, you need to consider their credentials and experience. You also need to ask about their fees. These can range from an hourly rate to a flat fee, or they may offer a contingency fee for the work they do.
The Atlanta area is home to several reputable estate planning attorneys who have years of experience helping their clients make the right decisions about their estates. Whether you are an individual or a small business owner, a professional estate planner can help you prepare your assets for the future.
Your estate plan typically focuses on a Will, a Durable Power of Attorney and possibly a Trust, but have you ever considered your digital assets? The average person owns up to 90 online accounts and most of those accounts contain personal information like email addresses, passwords and social media logins. These assets can be both monetary and sentimental, and it is essential to plan for their distribution after death.
A comprehensive estate plan includes a thorough inventory of all your assets. This list should include physical items, financial assets, retirement funds and digital assets such as email accounts, social media accounts and even passwords for online stores or e-commerce platforms. The list should also include the names and passwords of any other people who hold these accounts or platforms, such as spouses, children or business partners.
The inventory can be a great tool for helping you determine what kind of distribution would work best for your family. For example, do you want your online photos to be given to your children or have them handled by a spouse? Or would you prefer the revenue from an e-commerce store to be transferred to someone else?
If you have a large amount of digital assets, it is important to name someone who will manage them and carry out your wishes after you pass away. This could be your main executor who is comfortable managing other types of assets, or you can name a separate digital executor with specialized knowledge of this area.
Whether your digital estate plan is in a file cabinet, with an attorney or stored on an online storage platform, you should make sure it’s backed up regularly. This will ensure that your loved ones can find it easily if the need arises.
The process of creating an estate plan is one that should be completed by everyone over the age of 18. If you don’t have a plan in place, your loved ones might have to go through a court process to distribute your assets. This process can be complicated, expensive and time-consuming.
As an alternative, you can create a digital estate plan that outlines your wishes regarding your online information and accounts. This will provide your loved ones with peace of mind knowing that their digital assets will be distributed according to your wishes.
You may also choose to name a digital fiduciary or a special agent to handle your assets after your death. This person should have specific knowledge of your wishes and be willing to comply with them.
A digital fiduciary can be a family member, close friend or business partner who can access your online accounts and information when you pass away. They should have a detailed understanding of your privacy and security preferences and be able to protect your assets.
Your digital estate plan can also include instructions for how to dispose of your specialized digital assets, such as cryptocurrency or non-fungible tokens (NFTs). These assets have a unique set of valuation and legal considerations that must be taken into account when determining the fair market value.
If you are in an unmarried relationship, it is important to take steps to protect your property and future well-being. This includes putting together an estate plan for you and your partner. This can be done through the assistance of an Atlanta estate planning attorney.
The death or incapacity of one unmarried partner can put the other in a difficult financial situation. This can be especially true if the deceased partner had been paying off a mortgage or other debts, as well as the other partner's pension and social security accounts.
Purchasing a life insurance policy with the surviving partner as the beneficiary can help ensure that they will be able to continue their current lifestyle. This can also provide a sense of security in the event that the surviving partner loses their home or other cherished possessions.
A will establishes who will receive your assets after you die, while a trust lets you name a trustee to manage the property. A trustee is an individual who is designated to handle the management and administration of your assets. This person can take care of your property while you are still living, and after your death, the trustee distributes your assets to the people or organizations you designate in the trust agreement.
It is crucial to have a will and other estate planning documents in place for all adults, but it is especially important for unmarried couples. If you do not have these in place, your family or heirs may struggle to settle your affairs.
An estate planning attorney can help you prepare a plan for your entire family. He or she can assist you with creating a will, establishing a trust, and designing a plan for your healthcare and finances.
Whether you are married or unmarried, it is important to have a trust in place. This can be a highly effective way to avoid probate and maintain control over your assets.
Your Atlanta estate planning attorney can advise you on the best type of trust to suit your needs. He or she will be able to explain all of the benefits of a revocable trust.
A durable power of attorney is a legal document that gives another person the authority to make healthcare decisions for you if you become incapacitated or disabled. This can be very important, especially for unmarried partners, who are often unable to make healthcare and financial decisions on their own without the proper paperwork.
In addition, a durable power of attorney allows you to name someone to take over your property and finances in the event that you are unable to do so yourself. Having this in place can prevent your estate from going through the expensive and time-consuming process of probate.
If you own a home, car, or other assets that are jointly titled with your unmarried partner, it is essential to title these properties as joint tenants with rights of survivorship. This will allow a surviving partner to continue to own the property even if they lose their partner.
Trace Brooks Law
1275 Peachtree St NE #525, Atlanta, GA 30309, United States
(404) 492-9559