If one has a child, it is often the case that they want their child to inherit their assets when one passes away. Therefore, those with children may execute a will or trust to ensure this happens. However, estate planning is important for anyone, including those who do not have children. This is because without an estate plan, the state will determine who will inherit one's assets and make decisions on their behalf.
A resident who is executing an estate plan may want to consider including a trust in their estate plan. Trusts can be useful vehicles for passing assets on to a beneficiary. Two basic types of trusts are living trusts and testamentary trusts.
While many people in Colorado may have a vague idea that they'll receive an inheritance from their parents, they may stay more or less in the dark until their parents have passed, and their will is read. However, it is entirely possible to sit down and have a conversation with your parents about their inheritance plans while your parents are still alive, and, in fact there are some good reasons for doing so.
Life is rarely static, and Coloradans can expect that as they age, they will see many changes in their life. Family members may have come into or gone from their lives, they may have worked their way up the corporate ladder and many other major life events may have occurred over the years. It is important, then, that one's estate plan reflects these changes.
The recent passing of President George H.W. Bush less than eight months after the passing of his wife serves as a good example of what some in Colorado believe to be "broken-heart" syndrome, in which loving spouses die within quick succession of one another. While "broken-heart" syndrome may seem to some to be a mere romantic fancy, there are very real estate planning issues that will arise when only a brief period of time passes between two spouses' deaths. This is particularly true when it comes to beneficiary designations.
Some people in Colorado might execute a will or trust, and then consider the matter open and shut. However, estate planning is truly an ongoing process. There are many reasons why it is good to review your estate plan periodically, to ensure it still meets your needs and wishes, as well as the needs of your loved ones.
When people in Colorado think of estate planning, they may think of an elderly person dictating their last will and testament on their death bed. However, estate planning is critically important to complete early on in life. First, sadly, no one is guaranteed old age, so it is best to be prepared early. Second, estate planning encompasses aspects beyond simply deciding who should inherit your assets. It can address your medical and financial care should you become incapacitated during your lifetime. Estate planning is necessary for people of any age and of any wealth.
Fans of Marvel comics and movies may have been saddened to hear of the passing of Marvel creator, Stan Lee at age 95. However, residents of Colorado can learn important estate planning lessons from Lee's passing. This is because it is not known whether he had executed any estate planning documents in light of the complicated relationships he had in his late years.
When a person in Colorado Springs is executing an estate plan, they may fall into the trap of thinking they can just split everything equally between their heirs. While this can be relatively straightforward with regard to bank accounts and other intangible assets, it can be more difficult when it comes to personal property. How does one handle the division of family heirlooms, such as grandmother's wedding ring or a valuable painting? These tangible assets can be more complicated to address in an estate plan. This is because people may not know what these assets are currently worth, and these assets may have a lot of sentimental value for certain family members. That being said, it is just as important to include tangible assets in your estate plan as it is to include intangible assets.
Whether you're a cat-aficionado, a dog-lover or a fan of any other furry, feathery or scaly companion, it goes without saying that most pet owners in Colorado consider their pet to be one of the family. Many people take the step of executing an estate plan for the benefit of their human loved ones. However, pet owners will also want to keep their animal companion in mind when estate planning. After all, there are no guarantees in life, and it is possible that a pet could outlive its owner.