Tuesday, August 21, 2012

Perfectly Practical #124 - Estate Planning


Many people, when they think of the phrase "estate planning", have grandiose visions of a wealthy someone who wants to find ways around taxes for their multitudes of assets and piles of money.

That is not necessarily the case.

Basically, estate planning is another way of being prepared and being prepared equals being frugal.

Estate planning is for anyone and everyone.

That anyone or everyone includes current or potential:

  • Parents
  • Caregivers to the Elderly
  • Caregivers to Someone with Special Needs
  • Home Owners
  • Inheritance Recipients
  • Land Owners
  • Life Insurance Recipients
  • Business Owners

If any of those labels fit, then estate planning is for you.

It's not necessarily squirreling away wealth, but about making sure your wishes are carried out.  For example, if you have strong religious beliefs one way or the other in regards to cremation, that should be noted in your will.

If there is a chair that has been passed down for generations to the first born son in your family, then have that put as a stipulation in the will.

If there is a charity that you have worked with all of your life and feel like a generous endowment should come from you, put it in your will.

My two biggest reasons for having a will right now are:

Diva - I need to make sure that if anything were to ever happen to her father and I, that she would be taken care of by whom we have named and felt is the best place for her.  Naming with whom she will reside takes a lot of stress off of your family during a time of grief.  The last thing they need to worry about is trying to go to court to get custody from the state.

Future Assets - What is the point of all this living frugally stuff if I don't have a goal towards future assets?  :)  When we do reach a point where there is an inheritance to leave to Diva (and hopefully her children), we want it to go where we want it to go and not wherever the state sees fit.

There is a FREE Frugal Living Class at Cumberland Presbyterian in Marshall this Saturday from 10-12 on Estate Planning.

Also, the Wholly Guacamole Giveaway ends soon!

This is part of Works for Me Wednesday & Crystal & Co.

2 comments:

  1. Since the will is not usually read until AFTER the funeral/memorial service, you should state your wishes re cremation, burial, funeral music, etc. on a separate document and make it available to your family or executor before your death.

    ReplyDelete

Your turn! Let me know what perfectly practical comments you have.

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