An estate plan is a type of agreement where an individual decides who will own and manage their assets once that individual is incapacitated or deceased. A major reason why this is so important is that it completely eliminates all tax-related burdens that legal heirs would have had to bear while transferring assets had the estate not been planned.
The difference between estate planning and a will
It is typically assumed that estate planning and writing a will are the same thing; however, this is very wrong. In simple terms, estate planning often includes writing a will. It consists of broader plans of action for a person’s assets that apply during life and at death.
A will, on the other hand, simply states the new guardians for a person’s children, where assets would go, and many more things. Thus, an estate plan covers more ground than a will does.
If you have a problem deciding whether to write a will or create an estate plan, it is advisable to speak with a financial advisor or an estate lawyer. An estate planning lawyer will help outline the distribution and management of assets after a person’s death.
There are multiple laws governing estate planning around the world. These laws, however, aren’t similar in most places. In the US alone, each state has a number of unique laws that govern its estate planning.
In this regard, Estate planning and conflict of laws 1963 and International Estate Planning Laws are two such laws that regulate estate planning in the United States and internationally.
So, How Much Does an Estate Plan Cost?
Knowing the various documents needed for the creation of an estate plan, and how in-depth the plan can be, the major question remains, “How much?” Though it is not surprising, the cost of an estate plan will vary depending on your attorney.
For something as simple as a will, an attorney might charge anywhere between $200 to $300. However, for something as well detailed as an estate plan, attorneys typically charge within a range of $200 to $400 hourly. Therefore, you might end up spending thousands of dollars on an attorney.
What is Jewelry Estate?
In a formal sense, “estate jewelry” refers to jewelry and timepieces that are included in the ‘estate’ of a deceased person. The word “estate” especially refers to used or pre-owned jewelry, with the “estate” prefix denoting that the object is old, vintage, or otherwise regarded as a noteworthy or valuable piece.
Many people find estate planning to be a daunting chore that they would rather avoid. It can be quite painful to consider dividing up your possessions among close family members. If a strategy isn’t in place, sentimental goods like jewelry sometimes end up in the wrong hands. Fortunately, we have you covered. Discover our best estate planning advice in the following paragraphs to make sure your jewelry goes to the right person.
Documents needed for a jewelry estate plan
1. Revocable living trust
2. Last will and testament
3. Beneficiary designations
4. Advanced Healthcare Directive
5. Financial power of attorney
6. Digital account logins and passwords
7. Funeral instructions and wishes
8. Proof of identity documents
9. Titles and property deeds
10. Insurance policies and financial information
A Simple Guide to Handle Your Jewelry Estate Planning
1. Recognize your predicament
Every circumstance is unique. Therefore, there isn’t a single estate planning strategy that works for everyone. When making your estate plan, be careful to take into account all of the many aspects of your circumstances. Finding the best option for your needs often depends greatly on knowing the value of your possessions.
2. Make a list.
Everything you own is regarded as a component of your estate, and decisions should be taken regarding how to treat the various goods. Determine if your home or other real estates should be sold and the proceeds added to your other estate assets, or whether it should be left to beneficiaries.
3. Draft documents for estate planning
Consult with a lawyer who specializes in estate planning to create a thorough estate plan that includes a will, powers of attorney, living will, or advanced healthcare directive, and perhaps one or more trusts if you have young beneficiaries or a scenario that calls for extra careful consideration. Think about who you want to inherit your assets from and how much of each.
4. Implement the Plan
There are some additional steps you can take after creating your estate plan to ensure that it is carried out as intended. These steps include funding any trusts you establish and, if necessary, retitling property or assets into the names of the trusts.
5. Family disputes and hurt feelings can be avoided by being more specific
Modern civilization places a tremendous deal of importance on jewelry. Whatever you choose to do with your jewels, be careful to express your intentions clearly in your will. When people don’t address jewelry clearly, it can cause misunderstandings, conflicts, and upset feelings. Arguments about who receives what may arise between loved ones such as family, friends, and family members. People could feel excluded and let down if certain things are not left as bequests to them.
6. Review and adjust your strategy
While creating an estate plan is vital, it is also crucial to frequently (annually is best) review the plan to make sure it still reflects your objectives and that the individuals you have designated to assist you and those you have chosen to inherit any assets still make sense.
7. Talk to your loved ones about your plans
It can be extremely awkward to bring up estate planning issues with your family and friends, which is understandable. You might want to steer clear of it entirely. However, it’s crucial to have a conversation with the intended beneficiaries and let them know what you want. This can assist avoid future disputes and make sure your wishes are carried out.
Conclusion
You can prepare for what will happen if you pass away or if you become disabled by creating an estate plan. You can make a strong strategy for dealing with both of these circumstances with the assistance of an estate planning lawyer. They can provide legal counsel on wills, trusts, and the local probate procedure. Some estate lawyers might also specialize in other areas, such as corporate succession planning.
