On April 16, 2014

Colorado residents may be interested in an article discussing the importance of estate planning. Though it is easy to put off, the enormous financial and personal benefits can be worth the effort.

There are many barriers to creating a proper estate plan, particularly for busy small business owners and executives. Often, there is a long questionnaire provided by the attorney. This can be a discouraging first step that often leads to procrastination. If the person has a financial planner, however, this professional can be very helpful in providing the information needed for their attorney to construct the estate plan. The need to make difficult choices regarding one’s own death is also an impediment to moving forward with estate planning.

After the estate plan is complete, often there is more necessary work to do. This includes changing the names of beneficiaries on various accounts and funding any trusts that were created as part of the estate planning process. However, all of this work has a huge benefit. In the absence of a valid will or other testamentary document, the estate will be distributed according to the applicable state statute on intestacy, which may not be in accord with what the decedent had wished.

An attorney may be able to walk clients through all of their estate planning concerns, including the tax implications and strategies that can minimize the burden on loved ones when they are gone. Executing a will can be a huge step toward ensuring that the estate has a way to preserve assets for future generations. Other important documents can be drafted, including power of attorney documents that allow another to make financial and health care decisions if that person is incapacitated.

Source: Boulder County Business Report, “Take time for estate planning, protecting earning power“, Robert J. Pyle, April 04, 2014

Categories: Estate Planning

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