Estate Planning Attorneys in Colorado: Estate Lawyer

FAQ

• What is an estate?

  An “estate,” simply put, consists of all of your possessions. Estates often include real estate, retirement and other investment accounts, business interests, bank accounts, life insurance, and personal property including vehicles, jewelry, artwork, antiques, horses, dogs, and other pets.

• What is estate planning?

  Think of estate planning as roadmap for: (1) making sure your wishes are honored, and you receive the assistance you need, in the event you are alive but cannot make financial or medical decisions for yourself; and (2) ensuring your wealth is transferred to your loved ones, on terms or with conditions that you desire, and without unnecessary delay, expense, or tax consequences.

• What documents are needed for estate planning?

  There are too many tools available to estate planning attorneys to list here, but virtually all good estate plansconsistent of at least the following:

  Documents that help when you are injured:

  • A general durable (or financial) power of attorney, authorizing an agent to help you with financial and finance-related decisions.

  • A healthcare power of attorney, empoweringa healthcare agent to make healthcare decisions in the event you cannot make those decisions yourself.

  • A living will, which defines your wishes for end-of-life care if you are terminally ill or seriously injured

  • A HIPAA authorization form, listing the persons with whom your medical professional can share you otherwise confidential medical information.

  Documents that allwo you to direct your wealth upon death:

  • A Revocable Living Trust, which is a set of instructions that tells a trustee how your assets should be managed or distributed during the trustmaker's life and upon the trustmaker's death.

  • A Last Will and Testament, which is a legal document that allows you to direct how you want your wealth distributed upon death and who you'd like to care for children, dependents, and pets.

  Gabe believes that thoughtful estate planning is the ultimate gift to one's family, as it gives both you and your loved ones peace of mind. As Winston Churchill said, “Let our advance worrying become advance thinking and planning.”

• I don't think I really have an estate, so why do I need an estate plan?

  Almost everyone has an estate, and virtually everyone should have an estate plan. You may think that having an estate means owning a big home, having a hefty bank account, or a large investment portfolio. But estate is a catch-all term that means your collective assets, such as your cash, property, and personal belongings. This includes things like cars, jewelry, clothes, houses, retirements accounts—even your pets. Whether your estate is simple or complex, you need an individualized plan to make sure your wishes are carried out on your terms. If you have minor children, an estate plan is critical. If something happens to you, who is going to care for your child or children? Estate planning allows you to choose a legal guardian for them and the right person to manage your assets for their benefit. Also, a comprehensive estate plan includes other documents to make sure you receive help if you are alive but unable to make financial or medical decisions for yourself. Since medical emergencies can occur at any age, it is essential that everyone age 18 and over have these documents, so that your wishes will be carried out if you are incapacitated or in an end-of-life situation.

• When should I update my estate plan?

  Your life will change over time-your children will grow, your financial position will change, and relationships will come and go. Good estate planning requires regular updates. Your current estate planning documents might name people with whom you are no longer close, or who have passed, or you may now be in a different relationship or marriage. Children are born, and children grow up. An old will or trust may not include children you now have, or it may provide for young children who have since become adults, with kids of their own. As well, the types and amounts of our assets change throughout the stages of our life. An estate plan built for a young family may look very different from someone who is nearing retirement. Finally, it's wise to evaluate your legacy as your life evolves. That may mean including a charitable legacy for something that has become dear to your heart, or deciding how you want your loved ones to carry on with what you have accumulated.

• Do I need a Last Will and Testament or a Trust

  Trusts generally (and revocable living trusts more specifically), as well as Last Wills and Testaments, are complex legal documents that require good conversation and an experienced estate planning attorney. One size does not fit all; each Will or Trust should be specifically tailored to your specific circumstances. Nonetheless, here are some of the factors Gabe discusses with clients to determine which fundamental estate planning tool is best:

  Desire to avoid probate: Will-based plans typically require probate, which is a court-supervised legal process that typically takes a year or more to complete and costs several thousands of dollars. Trust-based plans, when properly funded, avoid the delays and costs associated with probate.

  Whether you own or intend to own real property in multiple states: Typically, if you own real property in more than one state, your heirs must initiate probate in each and every state where you own real property. This will often double or triple probate costs. Trust-based plans, when properly funded, avoid probate altogether.

  Importance of privacy: The probate process is generally public; thus making your wishes, as well as your finances, available to nosy neighbors, troublesome family members, and creditors. The administration of trust-based plans is typically between the trustees and beneficiaries only.

  Concerns about potential creditor claims: Many people worry about the inheritance they leave to their children being lost to their creditors or their children's creditors.

  Flexibility: A trust can be amended by a document signed by the trustmaker or trustmakers. Unlike amendments to Wills, no witnesses are necessary. Copies of trust documents can also be substituted for the originals; with Wills, the original is critically important.

  Whether you need a will, a trust-or both-Gabe will explain your options, guide you through the process, and work with you to create a customized plan that best suits your needs.

• What is am advanced medical directive, or a living will?

  Regardless of their health or age, all legal adults need certain legal documents to protect themselves and their family. Medical emergencies can happen to us at any age, so it is crucial that everyone age 18 and over have an advanced medical directive, also known as a living will. A living will-which is completely different from a Last Will and Testament-allows you to decide how you want to be treated in an end-of-life situation. It can state how long you would want to remain on life support and also include instructions about your wishes concerning things like tube feeding, mechanical ventilation, and organ donation. By planning ahead, you can get the medical care you want and relieve your family of decision-making burdens during moments of crisis and grief. You also help reduce confusion or disagreement about the choices you would want people to make on your behalf.

• What about my adult children?

  Before you send your child off to college or out into the world, make sure he or she has at least a healthcare power of attorney (so you and/or your spouse can help if your adult child needs help with a healthcare decision) and a HIPAA authorization form (so you can communicate as necessary with your adult child's doctors.) As an estate attorney-and a parent-Gabe understands what forms can provide you with some much-needed peace of mind.