What Are the Benefits of Micro Estate Planning?

Traditional estate planning can reduce your taxes, eliminate large probate fees, and give you security for the future. However, you might be unfamiliar with a brand-new estate planning term: micro estate planning.

What Is Micro Estate Planning?

Long-term planning is important, and it should still be considered in your overall estate planning process. However, it is also important to consider what will happen to your assets in the hours or days after your (or your spouse’s) passing.

This is where micro estate planning can help; it can help establish short term plans and information. For example, if you and your spouse go out and do not return home, how will the babysitter be contacted? If you are a parent, questions like these have probably crossed your mind, but you were probably unsure of how to execute a plan. Other scenarios can include questioning who will pick up your children from the house, where they will live short-term, and other circumstances.

As part of the rest of your long-term estate plans, you, your spouse, and your estate planning attorney can draft an additional document that outlines these short-term scenarios and information.

Micro estate planning can help you and your family tremendously and provide even further security in case of a sudden accident. If you have underage children, or if you are just generally interested in drafting an estate plan, you should contact an estate planning attorney at Lowthorp, Richards, McMillan, Miller & Templeman, APC for more information.

Aretha Franklin’s Death Without a Will is a Reminder to Think About Your Estate Plans

According to documents filed in probate court, Aretha Franklin left no will or trust behind when she died. Without proper documentation of her assets, a net-worth estimated beyond $80 million and rumored debts, figuring the true worth of Franklin’s estate will likely be controversial and take time.

If Franklin voiced any wishes for her estate and legacy prior to her death, they will not likely be fulfilled. Neither will the wishes of her immediate relatives. Without a will, her estate will be distributed under Michigan law, which means her assets should be divided equally among her four sons. In respect to future accrued assets from Franklin’s legacy, Franklin’s niece, the appointed representative of the estate, has sole legal power over how the estate will be administered.

You may feel like estate planning does not apply to you, but it applies to everyone. There is much more to estate planning than allocating assets. Estate planning can help you address many issues you might face at incapacity or death. Do you want to sell your business after you pass? How would you want your family to take care of you if you became disabled? Who would you choose as guardian to your children if you became incapacitated? These are tough questions, but having a legal plan in place is the only way to truly preserve your intentions and protect your loved ones. Without proper legal documentation, a person’s estate, no matter the size, is administered based on guidelines set from the state in which that person lived.

There are multiple routes you can take within an estate plan. The best options for you depend on factors such as personal goals, assets and health. To ensure that your intentions are covered and comply with your state’s laws, working with an experienced estate planning attorney is recommended. At Lowthorp, Richards, McMillan, Miller & Templeman, APC, we perform the complete range of trust and estate legal services for our clients. We can help you decide the best course of action to take for your interests, develop your estate plan, and leave you with peace of mind for your future.

Contact our estate planning attorneys at (805) 981-8555 for more information.

Your Will – And Other Important Estate Planning Documents

Your will is an important document that can ensure that your property will make it into the right hands once you pass away. Without a will, your property is at risk of being divided according to California’s rules of interstate succession. While these rules will mean that your property will be passed down, it is likely that this property division would be different from how you would have wanted the property divided. For a will to be effective, it must go through the probate process, which can be lengthy and pricey. Probate can be avoided, though (and often is), by combining a will with another important component of estate planning: the living trust.

A living trust is created during life and places property in the possession of a designated trustee. The trust agreement specifies how property is divided upon death as well as who should take over as a trustee, should the creator of the agreement become incapacitated. You may think of living trusts as a simpler, cheaper version of probate that does not require anyone to go to court.

There are two more important documents you must be aware of to ensure that your estate planning goes smoothly: general durable power of attorney and advance health care directive. General durable power of attorney grants another person control over your property and financial transactions, even after you have become incapacitated. It is important to choose carefully when granting someone general durable power of attorney, since that person will be the only one who can make decisions for you if you become incapacitated.

Advance health care directives, like powers of attorney, allow you to dictate specific medical decisions in the event that you:

  • Suffer an accident or condition that will lead to death in a short period of time
  • You become unconscious and it is not likely you will recover
  • The risks and burdens of treatment outweigh the benefits.

Our firm is located in Oxnard, California and has achieved the highest possible legal rating in the national attorney directory of Martindale-Hubbell. Our partners are members of the American Board of Trial Advocates. We represent clients in a variety of practice areas and have recovered multimillion dollar verdicts and settlements. If you need the guidance of an estate attorney in California, call Lowthorp Richards at (805) 981-8555 or fill out our online contact form.

What is Estate Planning?

Planning for distribution of an estate following death is commonly considered a legal process that is only necessary for wealthy individuals, but the truth is that everyone has a need for some form of estate planning. Every young person with children needs an established will and directive regarding disbursement of personal property and dependent children guardianship in the event of an untimely tragedy. Even possessions as simple as furniture or vehicles are considerations when evaluating what would happen in the event of death or incapacity. Incapacity is another issue that many do not consider either, which can be especially important for young single parents. Everyone needs some form of an estate plan, regardless of the total value of their personal holdings, because passing away intestate can produce results that no one may want. The answer is developing a comprehensive legal directive, usually done most effectively with the counsel of an experienced estate planning attorney such as Lowthorp Richards.
Continue reading