There are many things an estate planning strategy will do for you as you reach your senior years as well as helping you prepare for your death. While we don’t like to talk about these matters, planning for them ahead of time can help you make your wishes known in the future when you’re no longer able to speak for yourself. While a lawyer can help you create a comprehensive plan, this overview explains the various things you can do with an estate plan.

Draft a Will

It’s far less common for people to die intestate, or without a will, than you may realize. Even if you don’t think you’re wealthy enough to need a will, there are other things to consider that do require some form of resolution. For example, if you don’t have a will and you die before your children reach 18 years of age, it will be up to the court to determine guardianship of the children.

This usually involves time-consuming hearings, and the children may end up in the care of someone you would not have trusted to be a good guardian. In a similar process, the courts will also determine who will receive your assets after the probate is complete. You will want to search for a law firm in your area. A quick Google search such as “Los Angeles estate law firm” can help you narrow down your choices. If you hire a law firm to draft a will for you, choosing heirs to receive your assets will be entirely up to you.

Add a Living Trust

It’s not uncommon for people to create living trusts that supplement their wills. While you need a will to establish child custody and address other critical issues, a trust provides benefits that aren’t available with a will.

The biggest reason to list assets in a living trust rather than in the will is that the trust is a private document and, as such, won’t be included in the probate process. This means assets listed in the trust won’t be liquidated to cover debts and won’t be subjected to estate taxes. The assets automatically pass to the individual named as the trustee in the document.

Name an Executor

During the estate planning process, you’ll have to pick an executor of your estate. This person will be responsible for preparing your estate for probate, ensuring creditors are paid, submitting estate taxes, and distributing assets in accordance with your will.

This is a big responsibility and involves the handling of your finances, so you should choose someone you trust to take this responsibility seriously. It’s not uncommon for people to run a credit check on the person they want to select as executor to ensure they are financially responsible.

Draft Powers of Attorney

There are some estate planning tools that are designed to help you before you die and these are called power of attorney documents. One of the most widely used is the medical power of attorney, sometimes called a healthcare proxy.

This document allows you to choose a specific person to make decisions regarding your medical care if you’re deemed mentally unstable or physically unable to make decisions for yourself. This is helpful if an accident leaves you in a coma, or if you suffer a stroke.

A financial power of attorney, or durable power of attorney, takes over your financial management under the same set of circumstances. The durable power of attorney puts someone in charge of collecting your income or social security benefits, paying your bills, managing your business, and making investment decisions for you. These documents remain in effect until your health condition improves, or until you pass away.

Write a Letter of Intent

Finally, you can also include a letter of intent in your estate plan. This is a letter that you write yourself that expresses your final wishes. You can detail the funeral and burial arrangements you have made, provide a list of usernames and passwords for online accounts, and list any instructions you care to leave for your loved ones.

In a strict sense, a letter of intent isn’t considered a legally binding document, but judges can consider them in making decisions about issues that arise during probate. It also gives you one last chance to say goodbye to your loved ones.

As this overview suggests, there are many complex tools that can help you prepare for the future. An estate planning lawyer can help you set up these documents and ensure they will stand up against scrutiny. Your lawyer will help look after your interests even after you’re gone, so it’s important to choose a lawyer you trust. Setting up your estate plan now, regardless of your age, will give you greater peace of mind throughout your life.

Author information: Regina Thomas is a Southern California native who spends her time as a freelance writer and loves cooking at home when she can find the time. Regina loves reading, music, hanging with her friends and family along with her Golden Retriever, Sadie. She loves adventure and living every day to the fullest.