How to Choose the Right People for Your Estate Plan
Estate planning is a nuanced task where every detail matters. One of the most important aspects of a strong and effective estate plan is choosing the right people to trust with the future of your assets and affairs. The fate of your belongings and beneficiaries will be in the hands of the people you select to act in important roles. Do not make these decisions lightly. Make sure to speak with an experienced estate planning lawyer in St. Louis for legal guidance and support.
Plan With Your Head, Not Your Heart
While estate planning can certainly be emotional, it is critical to assign important jobs based on who is best suited for the task. You need to identify who is the right person for the job, rather than choosing family members or friends you are partial to.
Depending on the elements involved in your estate plan, you may need to assign:
- An executor or personal representative
- One or more trustees to manage trusts
- Powers of attorney
- Health care agent
- Financial agent
- Guardians for minor children
Don’t make the common mistake of assuming that your spouse or the person closest to you is automatically the right choice for a key role. There may be another person who is better suited for the job. Certain tasks are best carried out by someone who is more impartial than a close relative, for instance, such as a hired professional or a financial institution.
Look Out for Conflicts of Interest
Conflicts of interest can create tricky and potentially disastrous situations down the road. While it may be tempting to nominate a friend or family member, it is important to be careful when choosing people for your estate plan.
Avoid individuals who may have conflicts, such as financial troubles, substance abuse disorders, mental health problems, severe physical health issues or family disputes. Consider how these personal problems may affect their capacity to meet the requirements of the job.
Spread Responsibilities Out Among Multiple People
You do not necessarily want to overburden one or two individuals with the majority of your estate planning jobs. This can prove overwhelming to those chosen – especially if they are ill-equipped for the job they have been assigned to. Generally, choosing one person per role is the most effective. Each position should be filled by the person who is the best fit.
Choose multiple individuals, assigning each to a task based on his or her unique strengths and weaknesses. When choosing a guardian for minor children, for example, consider traits such as lifestyle and personal values. Trustees, on the other hand, should be chosen based on their knowledge of how to manage assets and finances.
Involve Professional Fiduciaries
You do not only have to choose from friends and family members when assigning roles for your estate plan. In fact, searching outside of your inner circle may be in your best interest. Naming professional fiduciaries can help avoid potential pitfalls associated with family dynamics or politics.
Name Alternates
You should always have backups or alternates in place for an added layer of protection within your estate plan. An alternate can take over if your primary choice is unavailable or incapacitated. Having this safeguard in place can allow your family and estate to avoid the probate process – even if your first choice cannot fulfill his or her obligation.
Work With an Estate Planning Lawyer for Assistance
Working with an impartial, third-party attorney during estate planning can help you assign people who are responsible, reliable and well-equipped for the duties you are giving them. It is essential to find people you trust, but it is also necessary to assign roles based on who can handle the job correctly, dependably and calmly. Contact the lawyers at TdD Attorneys at Law for a free consultation about your estate planning needs.