Estate planning often starts with money. People are interested in determining how they’re going to pass their wealth to the next generation. It’s why they’ve decided to write a will or look into other estate planning documents.
This is an important part of estate planning, but it’s wise to remember that estate planning goes far beyond this. You may need to consider many things that have very little to do with passing your money to your children and other beneficiaries.
Using powers of attorney
One example is the use of advance directives and powers of attorney for medical decisions or legal decisions. An advance directive can give you a lot of say in determining how things will play out in the future. For example, a medical power of attorney can help with making medical choices by giving someone else the legal basis to do so on your behalf. If you want to make sure that your desires are respected and that your needs are met, this is one way to do it.
Picking a guardian for your children
Another example is a young parent who wants to make sure that someone will take care of their child if they pass away unexpectedly. You can use an estate plan to choose that guardian in advance. This gives you peace of mind and offers the child more stability at what is sure to be a difficult time.
These are just two reasons why you need to think beyond money when doing your estate planning. Make sure you consider all of your options carefully. It may help to work with an experienced team to glean their insight.