September means school resumed, signaling the return of new supplies, homework, and pop quizzes. Try your hand at this estate planning pop quiz to grade your knowledge of estate planning.
Question #1
You must name the same person to make both your financial and medical decisions on your behalf.
Answer: False.
When choosing trusted decision makers, select individuals based on their strengths. In other words, consider which characteristics or traits each decision-making role requires. Then, select the people with those traits. For example, if one child practices medicine and another practices medicine, the doctor would make medical decisions. What’s more, a CPA would make financial decisions. Choose the person you wish for each role.
Question #2 for an Estate Planning Pop Quiz
If I fail to create my own estate plan or if my plan fails to provide for my current situation, my state’s law will determine next steps.
Answer: True.
Every state lists default laws (called intestacy laws) which kick in if a person fails to make their own estate planning choices. These laws have a “one size fits most” situation. For example, for married people, the spouse usually gets priority with regard to making decisions and receiving property. However, innumerable reasons emerge. For instance, you may not want your spouse to decide. Also, you may not want to bequeath or certain items of property to them. For this reason, create your own estate plan and make your own decisions. If you fail to create or finalize your estate plan, stop procrastinating. Make an appointment to complete it.
If you have an estate plan, consider reviewing it in case your existing estate plan does not accurately reflect your current situation. For example, perhaps one or more of the people you chose as your trusted decision makers or beneficiaries is no longer living or able to serve, or there may be other people (e.g., a new child or a new spouse) who you want in those roles instead. When you experience a significant life event such as a marriage, divorce, retirement, change of occupation, or birth or death of a loved one, a change to your estate plan may be necessary.
Further, the ever-changing laws governing taxes and estate planning may necessitate an update to your estate plan. Even if no change is required, a periodic review with your estate planning attorney will give you peace of mind knowing that your plan will work as anticipated when the time comes.
Estate Planning Pop Quiz Question #3
Answer: True.
A will and trust accomplish the same goals. But wills cost less.While both a will and a trust instruct property distribution, one of the biggest differences between a will and a trust is that a will has no effect until the time of your death. A trust, on the other hand, can be utilized to deal with a period of incapacity. This helps loved ones trying to care for you.
Totaling the Estate Planning Pop Quiz Score
No matter your score on this estate planning pop quiz, you can be an A+ student by ensuring that you have a specially tailored plan in place with carefully chosen trusted decision makers. We can help you create or update your plan to ensure that it will work as you intend when the time comes.
About Skvarna Law Firm in Glendora and Upland, California
A skilled attorney can assist with your estate plan. Contact us today to learn about your options (909) 608-7671. We operate offices in Glendora and Upland, California. We provide legal services for individuals living in San Bernardino, Los Angeles, Orange, and Riverside Counties. This includes the cities of Upland, Ontario, Rancho Cucamonga, Fontana, Colton, Rialto, Chino, Chino Hills, Glendora, Claremont, Montclair, Pomona, La Verne, San Dimas, Azusa, Covina, West Covina, Diamond Bar, Walnut, La Puente, Corona, Norco & Mira Loma. Visit SkvarnaLaw.com to learn more.
