When it's time to plan your estate, something that must be done is the appointment of a power of attorney. The POA has several important jobs, but, most importantly, he or she can make all necessary decisions for you in the case that you can't due to illness or imminent death. Some POA appointments can continue to control parts of your estate and to take actions on your behalf after death if you indicate this in your will.
Prior to further addressing 'Common mistakes made in IRA planning' with part two, we will be discussing current events that demonstrate for us the need for preparation for the unanticipated.
Many Georgia families have an estate plan in place to provide guidance and support for current and future finances. Many also rely on trusts for specific estate planning goals. These goals can cover any number of things including protection of financial assets from tax liability, supporting charitable institutions and providing future security for a loved one.
Estate planning is for everybody, not just the wealthy or those with extraordinary situations. The biggest reason for this is that, without a plan of your own, your state will provide you with a "one-size-fits-all" plan through its intestacy statute. Because each person has unique needs and goals, it is not a good option to fall back on these statutes.
Estate planning, rather than being a task that one takes care of and checks off a list, is something best thought of as a process. After drawing up an initial estate plan, one should periodically review it and make any necessary changes. This ensures that the estate plan still serves the purposes for which it was created and is keeping up with changes in the law.
In our last post, we began giving tips for making a selection on a guardian. Here'll we'll pick back up on the thread. In addition to being open to non-family members and separating the functions of raising children and handling their money, a third tip is to select one person to act as guardian, but have a backup selection.
In our last couple of posts, we have been focusing on the power of Georgia probate courts to appoint guardians and conservators for adults and minors who need such supervision. We have also noted the importance of using your will as an opportunity to appoint guardians for your children.