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Why Everyone Needs an Estate Plan
By Deborah Bailin, Esq.

Proper estate planning is important for everyone. Most people agree that it is important to have a will in place, however the reality is that only 1 in 3 adults have a valid will, and even fewer have a properly designed estate plan. You do not need to be wealthy to have an estate plan - if you own any assets at all, or if you have any people that you care about, you should have an estate plan.

A properly designed estate plan should include: planning for the possibility of your own disability, providing instructions on the distribution of your property at your death naming the person who will manage your estate for you, and reducing or avoiding inheritance taxes, probate fees and professional fees.

The first step in creating a proper estate plan is to prepare your Last Will and Testament. Properly executed wills designate how and to whom your property will be distributed after death. If you don’t have a will, you have given up your legal right to distribute your property as you wish. State law determines who receives your assets if you die without a will. Many people are surprised that, under New Hampshire law, a surviving spouse does not usually inherit everything. Additionally, a will is the only place where you can name who you want to be the guardian of your minor children.

While having a will prepared is a good foundation for your estate plan, sometimes it is not enough. Assets and belongings that are left to your heirs under the provisions of a will must pass through the probate process before the intended recipients can receive the assets. Probate is a lengthy process and the court fees and professional fees can make probate an expensive process. In addition, if you own real estate in more than one state then you must go through the probate process in every state that you have property.