If you’re one of those people who’s been intending to make a will or create a trust but you’ve been putting it off, you could place an unintended burden on those you’ll someday leave behind. Few people want their heirs to have the hassle of probate, yet it happens to many people each year. According to Jennifer Sawday, an attorney at Tredway, Lumsdaine & Doyle, there are 4 key legal documents you should consider and discuss with your attorney:
1. Revocable Living Trust
This type of trust helps your avoid probate when your home and other assets are vested in your Trust. You select who will be in charge and set the rules for distribution of assets.
2. Pour Over Will
The preferred way to nominate guardians for your children. A will doesn’t avoid probate so it is executed at the same time as a trust. The will functions to “pour over” assets to your trust.
3. Power of Attorney
With this and an Advance Healthcare Directive, you nominate loved ones to make financial and medical decisions in the event you are alive but are unwell.
4. Advance Healthcare Directive
A legal document in which you specify what actions should be taken for your health if you become incapacitated or unable to make decisions for yourself.
