Why you need an Estate Plan
The idea that estate planning is only for
the wealthy is not true. Most middle-class families will
benefit substantially from an appropriate level of
planning.
Estate planning is about structuring the ownership
and control of property and other financial resources for
present day use and for the future, including upon
death. It is a plan devised now for the present and the
foreseeable future. It should:
- provide for appropriate ways structure ownership and control
for today; and
- take account of the potential for death or incapacity even
where these are remote possibilities.
As life expectancy diminishes, greater emphasis may
be given to the potential incapacity and succession aspects.
During a person's life, estate planning is
concerned with how:
- to allow the direct or indirect use of property and financial
resources as they choose;
- to deal with property and financial resources in the most
effective manner, including in a tax effective way;
- to protect property and financial resources as far as
practicable from others (such as creditors); and
- to provide for the potential for a loss of capacity to manage
financial matters, whether temporarily or long term.
When considering the aspect of a person's
mortality, estate planning is concerned with:
- an effective transfer of the control or ownership of the
property and financial resources, including a tax effective
transfer; and
- that such transfer is to the intended beneficiaries.
Estate Planning is the process of working out the
best possible ways of achieving your objectives for present day to
day purposes as well as for the future. To assist in this
process, professional advisers need to understand both your family
circumstances and your financial circumstances. This enables
them to provide you with advice as to the most appropriate options
that are available to you.
Read more on estate planning.