On the surface, estate planning may seem like a daunting task. Yet, it’s an important milestone for any adult to complete as it ensures your assets are handled according to your wishes when you pass. Fortunately, dealing with your estate becomes much more manageable when you break it down into a series of steps as listed below.

5 Steps for Hassle-Free Estate Planning

1. Create a Will

A will determines who will receive your assets when you die. When people pass without establishing one, their estate will automatically be transferred to their children or spouse based on state laws. You can also establish a trust to designate assets to any surviving minors and name responsible guardians for them. 

2. Designate a Power of Attorney

Your power of attorney can appoint a trusted individual to make financial decisions on your behalf if you should become incapacitated. Under this declaration, they can also pay your bills for you if needed. Although you could designate a relative to make these decisions, another option is to appoint an unbiased co-trustee, such as a lawyer, to help manage your assets.

3. Write a Health Care Declaration

In addition to a financial power of attorney, you should also establish a power of attorney to make health care decisions on your behalf under a health care declaration or living will. This person will decide what type of care you receive, but you can also use this document to outline medical procedures you do and don’t want.

4. Know Federal Estate Tax Law

Federal estate taxes apply only to couples whose estates exceed a value of $11.58 million or more. It’s possible to transfer any amount under that to beneficiaries without being taxed by the federal government. The amount for an individual is half that, however. If you’re concerned about how your estate will be taxed, work with an experienced attorney who can discuss which tax laws will apply to your assets.

5. Determine Final Wishes

No one wants to think about their death, but writing out some funeral plans ensures your final wishes will be respected. If desired, you can preplan arrangements with a funeral home of your choice and pay expenses in advance. Keep any documents relating to your final wishes in a safe place along with your will and other estate planning forms.

If you’re in the process of estate planning, allow the office of Larry J. Keller Attorney at Law to help. This experienced lawyer has been serving residents in Monroe County, IL, for more than 30 years and helps clients navigate the complexities of planning their estates with the utmost level of attention. Browse through the office’s full list of legal services online, or call (618) 939-8999 to set up an appointment.