Creating a comprehensive estate plan—and updating it periodically—is essential if you want to protect your family for years to come. It is easy to postpone something that seems irrelevant in the present moment, though, which is why people often delay the estate planning process. Fortunately, drafting critical documents doesn’t have to be complicated. In fact, doing so can relieve a lot of stress and provide peace of mind, especially if you are familiar with the various aspects of estate planning and its many benefits.

Top 4 FAQs About Estate Planning

What Is the Difference Between a Living Will & a Last Will?

A living will is a legal document that contains requests, preferences, and wishes regarding medical preferences should you ever become unable to make health care decisions for yourself. A last will, on the other hand, contains any last wishes regarding certain aspects of your passing, like funeral plans, as well as details regarding asset distribution. You can also establish guardianship for any minor children in a last will.

What If You Pass Away Without a Last Will?

When someone dies without a last will, their property will be distributed among specific beneficiaries according to state law. This is called intestate succession. In Hawaii, for example, the estate can go to the surviving spouse, children, parents, siblings, or grandparents, in that order. As such, it is wise to create a last will because doing so is the only way to ensure those whom you care about will receive the property you want them to have.

Do I Need to Create a Trust?

A trust is a financial arrangement that allows someone other than the owner of the property to manage it. You must transfer property to a trust when you are still alive, and then when you pass away, that property can go to the named beneficiaries. There are several advantages to distributing assets through a trust rather than a will, but you do not necessarily have to include one in your estate planning arrangements. A seasoned attorney can help determine if creating a trust is wise in your particular situation.

What Is Probate?

Probate is the process by which the estate is settled. During probate, the deceased’s eligible creditors may receive a portion of the estate, and whatever is left will then go to any designated beneficiaries. An estate must pass through probate, regardless of if there is a will. However, certain assets may not have to go through the proceedings. For example, property placed in a trust does not have to go through probate before the beneficiary can access it.

If you need to draft or update any of the documents mentioned above, turn to the Law Offices of Reuben S. F. Wong in Honolulu, HI. Attorney Wong has proudly helped clients navigate the complexities of estate planning for more than 50 years. Visit the firm online to learn more about their legal team, and call (808) 531-3526 to schedule a consultation with a lawyer today.