Now that we have all of the definitions out of the way, we can get down to the definition of estate planning… And it has less to do with your physical estate than you might think.
Traditional Definition of Estate Planning
The traditional definition is arranging for the passing of your property to the heirs and others.
My Definition of Estate Planning
- Arranging for the smooth, hassle free transition to the next generation by avoiding probate
- Arranging for your financial, legal, and healthcare decisions to be made by somebody you know and trust instead of being subject to a guardianship
- Protecting yourself against the negative results of medical incidents, dementia, Alzheimer’s disease, alcohol addiction, drug addiction, accidents, and random incidents of violence
What’s in an Excellent Estate Plan?
- Durable Power of Attorney
- Healthcare Power of Attorney
- Advance Directive
- Medical Information Waiver (HIPAA Waiver)
- Trust & pour over Will OR
- Will with additional documents and planning