Frequently Asked Questions

Estate planning is the process of arranging for the management and distribution of your assets after your death or incapacitation. It involves making decisions about who will receive your property, who will manage your affairs if you become unable to, and how to minimize taxes and other expenses. 

Estate planning is essential for several reasons:

• Control: It allows you to control who inherits your assets and when.
• Protection: It can protect your loved ones from financial hardship and legal battles.
• Efficiency: It can streamline the probate process and reduce costs.
• Peace of Mind: It provides peace of mind knowing your affairs are in order.

Everyone can benefit from some form of estate planning, regardless of their net worth. Even if you have limited assets, a basic plan can ensure your wishes are respected. It's especially crucial if you have:

• Children, particularly minor children.
• A spouse or partner.
• Significant assets, including real estate.
• Complex family dynamics.
• Specific wishes for charitable giving.

A basic estate plan typically includes:

• Will: A legal document outlining how your assets should be distributed after your death.
• Durable Power of Attorney: A document authorizing someone to manage your financial and legal affairs if you become incapacitated.
• Healthcare Surrogate: A document designating someone to make medical decisions for you if you are unable to.
• Beneficiary Designations: Specifying who will receive the proceeds from life insurance policies, retirement accounts, and other assets.

A will is a legal document that directs how your property will be distributed after your death. It can also name guardians for minor children and an executor to manage your estate.

If you die without a will, Florida law will determine how your assets are distributed. This may not be according to your wishes, and it can create complications and delays for your loved ones. 

While Florida law recognizes handwritten wills (holographic wills), it's generally recommended to have an attorney draft your will to ensure it is legally sound and reflects your intentions. Florida has specific requirements for valid wills. 

Probate is the legal process of administering a deceased person's estate. It involves proving the validity of the will, identifying and valuing assets, paying debts, and distributing the remaining assets to the beneficiaries. 

While some assets may pass outside of probate through beneficiary designations or joint ownership, certain estate planning tools can help minimize or avoid probate, such as:

• Revocable Living Trust: A trust that you control during your lifetime and that distributes your assets upon your death.
• Joint Ownership with Right of Survivorship: Ownership where the surviving owner automatically inherits the deceased owner's share.
• Payable-on-Death (POD) or Transfer-on-Death (TOD) accounts: Accounts that automatically transfer to a designated beneficiary upon your death.

A revocable living trust is a legal document that allows you to place your assets in a trust while you are still alive. You typically serve as the trustee and beneficiary during your lifetime. Upon your death, the successor trustee you designate will distribute the assets according to your instructions. 

Some advantages of a revocable living trust include:

• Avoidance of Probate: Assets held in the trust typically avoid probate.
• Privacy: Trusts are generally not subject to public record like wills.
• Control: You maintain control over your assets during your lifetime.
• Continuity: Can provide for management of assets if you become incapacitated.

An irrevocable trust is a trust that cannot be changed or terminated once it is created. These trusts are often used for specific purposes, such as tax planning or protecting assets for beneficiaries. 

A Healthcare Surrogate is a document that designates someone to make medical decisions for you if you are unable to communicate your wishes. 

A Power of Attorney is a legal document that authorizes someone (your agent) to act on your behalf in financial and legal matters if you become incapacitated. 

A Living Will (Advance Directive) expresses your wishes regarding life-sustaining treatment in the event you become terminally ill or permanently unconscious. 

Beneficiary designations specify who will receive the proceeds from certain assets, such as life insurance policies, retirement accounts, and annuities, upon your death. These assets typically pass outside of probate. 

You should review your estate plan periodically, especially when there are significant life changes, such as:

• Marriage or divorce
• Birth or adoption of a child
• Death of a loved one
• Changes in your financial situation
• Changes in the law