Estate planning essentials
When it comes to estate planning, there can be a lot to consider. Taking care of three main aspects will go a long way to alleviating stress and worry on those you leave behind. The three estate planning essentials to consider are:
1. Drafting a will
An up-to-date will allows you to make clear the way your estate should be handled after your death. Will kits are available, but it’s often not that much more expensive to have these documents properly drafted and executed by a solicitor.
If you have a will, it’s important that your loved ones know where it can be found if needed. To alleviate any issues regarding the loss of a will, most solicitors securely store a will they have prepared for no extra charge.
2. Assigning a Power of Attorney
A Power of Attorney (PoA) is a legal document that gives a person the legal authority to effectively stand in your shoes and make legally binding decisions on your behalf. This may be required if you are involved in an accident, suddenly fall ill or are overseas and hard to contact.
There are two types of PoA:
- General Power of Attorney is usually drawn up for a specific purpose, such as being overseas for an extended period. Your General PoA no longer operates if your mental capacity is lost.
- Enduring Power of Attorney continues to be valid even in the event of lost mental capacity.
3. Nominating a superannuation beneficiary
Superannuation cannot be dealt with under a will, so by nominating a beneficiary you can ensure there is some additional clarity provided to the fund trustee regarding who receives your superannuation after you have passed away. There are two main types of nomination—binding and non-binding—both of which have inherent advantages and disadvantages.
Call us today to ensure you have your estate planning essentials sorted!