Importance of Planning
It is human to put things off. But proper planning for the event of one’s death can spare a family many traumatic decisions and financial burdens
PREARRANGEMENT OF FUNERALS
The desires and wishes for one’s funeral, burial and expenses can be specified to eliminate confusion, differences of opinion and difficult decisions on the part of family members. Prearranging a funeral may seem a difficult task, but there can be peace of mind for an individual who knows that his or her wishes will be followed. There are advantages to both Funded and Non-Funded prearrangements.
Your estate, when evaluated for Federal estate taxes, will probably be much larger than you think. Generally included in your taxable estate are life insurance, real estate, market value of business interests, household furniture, collections, autos and other tangible property. Be certain to consult an attorney periodically about current federal and state inheritance estate tax laws. Other property may be included in your taxable estate such as gifts of property made by you or to you, property in trusts created by you and property in trusts for you.
Your estate will pay less taxes — and your survivors will receive more of your hard-earned estate — if you PLAN.
Estate taxes can be reduced significantly if the decedent has prepared a well-conceived will through an attorney. Also, your property and the savings of a lifetime can be given to the people you select and you can provide for the preservation of family heirlooms and for the continuation of a business.
If your family is to receive the full benefit from you life insurance program, insurance coverage should be regularly updated and coordinated with your plans for distributing property and other assets. Life Insurance provides an estate with a ready source of cash required for the payment of estate taxes — and can eliminate the need to sell assets for payment of taxes.
PROTECT IMPORTANT PAPERS
All important legal documents should be kept in a safety deposit box. Such documents would include a copy of your will (with original kept with your attorney), auto titles, marriage papers divorce papers, other government recorded documents and bank account documents. An inventory list should be stored at home, with a duplicate in the deposit box and with your attorney.
Stock certificates may be stored in a deposit box or with a broker. Documents which can be easily replaced, such as insurance policies, educational records and cancelled checks, can be stored at home.