Estate Planning Tranquility is possible even for seniors Fearful
As citizens of a culture that worships youth, most of us find it almost impossible to admit our own mortality, much less make plans for that eventuality. Denial, however, offers no protection against the inevitable. And as it turns out, we have much more to gain than lose by sitting in advance to plan for every contingency life may throw at us. To help you begin this important process, these are the essential elements that should be on your list of basic goals of estate planning.
Pre-planning funeral
For survivors, the hours and days after the death of a loved one is not the time for substantive decisions. For many Americans, however, this is the first time they think about the preparations for the funeral of the beloved. Given the expense and painful emotions involved, survivors may be in a position to make decisions for themselves or their loved ones. According to a survey of its members by the National Funeral Directors Association, the average cost of a funeral is today of $ 6,500. That's an expense that can quickly escalate as survivors confront a bewildering range of choices in everything from the kind and quantity of flowers to the quality of its people ones coffin. A coffin first single, for example, can exceed $ 15,000. Add in the cost of roses and carnations over music recorded live on, and survivors may end up paying triple or quadruple the cost of the average funeral. However, without advanced planning to guide them, survivors may feel guilty for saying nothing but "yes" to the best for your loved one.
Leaving these emotionally charged decisions to grieving family and friends can place an unfair burden for them in their time of loss. That is why a growing number of Americans are choosing to take matters into their own hands with pre-need funeral arrangements. According to the American Association of Re-tired, over 21 million U.S. consumers 50 years and over have prior arrangements for their own funeral or a loved one, representing a total of more than $ 25 billion in prepaid funeral expenses. The National Funeral Directors Association reports that almost 98% of all funeral homes have established some kind of pre-need program planning, making it easier than ever for Americans to plan their funeral and advance. Today, most funeral homes offer a choice of pre-planning a necessity. In general, the process begins when a person sit with a funeral director to discuss plans available to them. Once you have reviewed your plans with your spouse and loved ones, who buy a funeral package that reflects your wishes in every detail possible. Consumers have several alternatives for the pre-pay for their plans for the funeral. One is to buy life insurance with the funeral home named as beneficiary. Or consumers can make payments in installments over months or years. With no alternative, they can work with a licensed funeral director to establish a trust that will pay their funeral expenses covered. Finally, consumers can pay for his funeral in an account that earns interest, and can be designated "by payable on death "to the funeral. After death, if there is more money in your fund you need to pay for his funeral, the family will receive a refund.
The benefits of a prepaid funeral package go beyond cost savings, however. For many families, it offers an important opportunity to discuss sensitive issues and concerns that might otherwise have been implied, and allows the family to decide together what funeral options will be more meaningful to them. In many ways, Prepaid funeral arrangements allow families to lay the groundwork for a faster process in the future. For many Americans, the discussion of their own funerals evokes unwanted thoughts of death. But once they overcome their initial resistance, most are quieter than discomfort of knowing that all details of this important task have been treated the way they want to be.
The control of health care we receive
As important as the funeral arrangements would be this work represents only part of a series of key issues of estate planning that we should settle in time. Of great concern to many consumer is to receive medical treatment in case of injury or serious illness. With today's breakthroughs in medical technologies, healthcare providers have at their disposal a wide range of costly and invasive life-prolonging treatments that may be the last thing you want or a loved one that endured. That's why, for many consumers, control actions when, how and why medical treatment rows at the top of their priority list of succession planning.
A tool commonly used by individuals to achieve that goal is Life Will, also known as a health policy. This allows simple document describe the types of treatments that do and do not want, if a life threatening illness or injury befall you. Unfortunately, living wills are often ineffective. In A landmark study conducted by the American Medical Association and funded by the Robert Johnson Foundation, Living Wills only showed non-rival for problem determination for the medical industry to keep patients alive no matter what. According to the study, most physicians ignored or Wills understand their patients' live. As a result, pay attention to a few of them. Specific instructions such as "do not use cardiopulmonary resuscitation" were ignored in 49% of the cases studied. Patients who continued to see their addresses such that first support medical intervention sought to avoid the same time for physicians to make a decision. The study found that doctors were held 22-73 days to comply with the orders written after the patients requested. Of that number, 48% of orders were two days before the patients died. Americans who want to control their destiny and the way they die they have no choice they take things firmly into their own hands. And the living will can not be the best tool to do that.
A living will is usually a simple document in a page redirecting health care providers to limit their attention in certain circumstances. While it is a convenient tool, its brevity may well be caused doctors refuse to acknowledge. Many include, for example, its ambiguous language and a limited range of reasons to disregard it. Moreover, not all states have laws that recognize the power of living wills. A final problem: A living will does not authorize anyone to act on its behalf, if you need a lawyer to speak for the scene you. For these reasons, a better alternative to a life alone can be combined with an advance health care, also known as Durable Power of Attorney for Health Care, or medical care. Provides instructions governing the extent allowed by what life support measures you want if you want to donate their organs. Also lets you name someone to serve as your attorney for matters of health care. In addition, the privacy provisions of the Health Insurance Portability and Privacy Act, or HIPAA, entered into force in April 2003.
To ensure that your loved ones can access the health information in case of disability or to help with decisions health care, you and every other member of your family must execute a HIPAA authorization form. That is an important advantage to be taken into account. Having someone legally authorized to make those decisions for you ensure that your wishes are carried out.
Avoid Conservatorship
As we age, disability is a serious increased risk. That's why you probably should plan ahead to have their personal care and financial affairs managed, as you would want if that is disabled. If not, you may find the focus of a guardianship proceeding, known in some jurisdictions as a care. In a humiliating public trial in the probate court, he was declared legally incompetent and a guardian appointed by the court is given authority over their health care. In some cases, their financial affairs will be managed by one person, while someone else will make decisions about your care. If the humiliation is not reason enough to avoid guardianship, then this should be: the courts have wide discretion as to who is assigned responsibility for their care. There are no guarantees that your designated care by the court will be someone of your choice, or for that matter, even someone you know. Many conservatives are professionals who receive payment for this service. And guess who pays the bill for court costs and fees tutor? You do.
Some consumers attempt to control their destinies with tools as a Power of Attorney for Property. But they do not provide consumers with the highest possible degree of protection. By contrast, real options and the trust planning Revocable Living, along with a Power of Attorney for health care consumers a greater ability to control their health and financial affairs event of incapacity.
How to make sure you have covered the basic concepts
One thing should be clear: what we do to our families and ourselves a great disservice when we fail in planning for all contingencies. So a crucial first step in this process should be a consultation with an estate planning attorney. He or she will help to assess the needs of your family and financial situation, and developing a comprehensive succession plan may include instruments such as a power of attorney for care medical and revocable Living Trust. In addition, your estate planning attorney will show you how to reduce or eliminate property taxes and how to ensure that after his death his estate will go to whom you want, when you want and how you want, without the expense, delays and publicity of probate. Of course, faces his own mortality is a process that makes most people uneasy, but nothing compared to the anxiety that often befalls the families of those who do plans at all. Thus, although the process can often be emotionally difficult at first, the payment in peace of mind for you and your family worth it.
About the Author
About American Academy of Estate Planning Attorney
The American Academy of Estate Planning Attorneys is devoted exclusively to estate planning and offers guidance and advice to our clients in following areas:
- Wills. Prepare a Will or other document to outline your wishes.
- Revocable Living Trust.
- Special Needs and Divorce Protection.
- Asset Protection.
- Retirement Planning.
- Long-Term Health Care.
- Creditor Protection.
- Structured Buy-Out Plans.
- Trust Administration.
- Advanced Planning.
- Probate Assistance.
- Updating Documents.
- Tax Planning.
Our office is located at 6050 Santo Road, Suite 230 San Diego, CA 92124. We offer comprehensive and personalized estate planning consultations. Please call us at (800) 846-1555 or visit us online.
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Power of Attorney and Health Care Proxy in NY
