What To Do When Your Estate Plan Is Complete

 

Most of my clients breathe a sigh of relief once their estate planning is complete.  All of us know that wonderful feeling when a daunting task we’ve been thinking about for a while is finally finished.  However, there a few additional steps that can truly wind up the process and offer complete peace of mind. 

1.      Fund your trust.  “Funding” a trust means either transferring ownership of assets to your trust during your lifetime, or designating the trust as beneficiary upon your death (also known as “Pay on Death” or “Transfer on Death” designations).  If you fail to fund your trust, your assets may have to go through the probate process using your “pourover” will.  In that case, the assets will eventually reach the trust, but the trust’s advantage of avoiding probate court, with its associated expenses and delays, would be lost.  In addition, if your assets do not pass through your trust, they can lose any protections and “backup plans” we’ve built into the trust.

 2.     Tell your trustees and those named in your powers of attorney that you have completed your estate plan and where you’re keeping it.  The trusted loved ones you have named in your estate plan must be able to locate the plan to ensure your wishes are followed.  Don’t keep the plan a secret or hide it well for privacy.  They will need to put their hands on it if something should happen to you.

 3.    Consider discussing your estate plan with your beneficiaries.  You could cover topics such as the reasoning behind your asset distribution strategy, or why you selected certain people to take the lead in particular roles, or why you chose the guardians that you did for any minor children. Often, hearing information directly from a parent, for example, will prevent children from arguing after you’re gone. If your kids know that a particular plan is exactly what you intended, it can go a long way toward smoothing over any potentially contentious issues. 

 Completing your estate plan is a major accomplishment.  If you’d like to discuss options for your own estate plan, please contact me at www.kirkestateplanning.com for a free initial consultation.