When the reality of the coronavirus Covid-19 initially began to sink in, people everywhere rushed out to buy toilet paper, hand sanitizer, and other items essential for staying at home indefinitely. Now that Covid-19 is an indispensable part of our daily conversations, individuals are becoming aware of another critical necessity: Coronavirus uncertainties emphasize the need to have in place a complete — and current — estate plan.
At BRMM, our estate planning and elder law attorneys are available to help existing and new clients. We are using virtual phone meetings as an alternative to traditional face-to-face discussions to ensure that Covid-19 does not prevent you from getting the legal help you need. We encourage you to contact us for a free virtual consultation.
Why Do You Need an Estate Plan — and an Estate Planning Attorney — Now?
Your estate plan accomplishes two important goals. It protects you and your family during your lifetime in the event of incapacity. It also makes certain that your wishes are fully implemented on your death. Sadly, the reality is that the Covid-19 pandemic increases the chances of the occurrence of these events for everyone.
Creating an estate plan with the assistance of an experienced estate planning attorney is the only way to make certain that you have the necessary protection during your life and that your assets and property will be distributed as you wish when you pass away. You should never attempt to create an estate plan using forms or a do-it-yourself (DIY) service. Even a simple mistake in a DIY estate plan can mean that your documents are not legally valid or that they do not accomplish your wishes.
Durable Powers of Attorney Protect You and Your Family During Your Lifetime
If, because of Covid-19 infection or any other reason, you become incapacitated and cannot make medical and financial decisions for yourself, someone has to make those decisions for you. The durable powers of attorney (DPOAs) in your estate plan are the legal documents in which you designate those individuals. There are two different types of DPOAs.
In your patient advocate designation, also called a durable health-care power of attorney or advance directive, you name the individual who makes your medical decisions if you become incapacitated physically or mentally, whether temporarily or permanently. You also may specify your wishes about medical treatment, including end-of-life care.
The second DPOA is your durable financial power of attorney. This legal document designates your attorney-in-fact to manage your finances if you are unable to do so. The designation enables your designee to pay your bills and tend to other financial matters in the same way that you normally would.
Please read the additional information about these essential documents in our recent blog post, Why Your Coronavirus (COVID-19) Checklist Should Include Durable Powers of Attorney for Health Care and Finances.
Wills and Trusts Distribute Your Property If You Pass Away
If you do not put legal documents in place to provide for the distribution of your assets and property when you pass away, Michigan laws determine who receives your property. You avoid this undesirable consequence by including a will — and often a trust — in your estate plan.
Most estate plans include a Last Will and Testament, which is the formal name for the legal document commonly referred to as a “will.” The role of a will is different in individual estates.
Your will designates the personal representative of your estate and provides instructions to the probate court about property in your individual name. In your will, you may distribute your solely-owned property directly to named beneficiaries. It’s extremely important to emphasize that a will is not an estate plan.
Many individuals choose to distribute property using a trust instead of a will. If you create a trust, your estate plan may include a “pourover will,” to ensure your all property is transferred into the trust on your death. The trust instrument gives instructions to your designated trustee about how to distribute the property.
A trust has desirable advantages for many people. It avoids probate and keeps your financial details private. A trust also enables you to control how the assets are distributed to beneficiaries, including the option of distribution over time. Legal advice from an experienced estate planning attorney is essential to determining whether a trust belongs in your estate plan.
If You Already Have an Estate Plan — Review It Now
If you already have an estate plan, you should review it now — and work with your estate planning attorneys to update it if necessary. Here are the considerations to address:
- Make certain that all your documents reflect your present wishes.
- Check the beneficiary designations on all your financial accounts and life insurance policy, to make sure they are current. Talk with your attorney if they need to be updated.
- Review your list of assets and property to make sure it is complete and current.
- Keep all your documents in a safe place. Tell your personal representative and DPOA agents where the documents are located.
Our BRMM Attorneys Are Here to Help
Our BRMM lawyers are here to help with estate planning, including durable powers of attorney, wills, living trusts, as well as other legal matters. Telephone conferences for video and audio consultations are available to avoid the need for in-person meetings.
Contact an Estate Planning Attorney Near YOU who is listed on ElderCareMatters.com – America’s National Directory of Elder Care / Senior Care Resources.
This article was provided by Don L. Rosenberg, Co-Founder of the Law Firm of Barron, Rosenberg, Mayoras & Mayoras, one of Michigan’s TOP Elder Law & Estate Planning Law Firms. Attorney Rosenberg and his firm are Members of the National ElderCare Matters Alliance and have a Featured Listing on ElderCareMatters.com– America’s National Directory of Elder Care / Senior Care Resources to help families plan for and deal with the issues of Aging.
If you have additional questions about your family’s Elder Care / Senior Care Matters, you can count on ElderCareMatters.com (America’s National Directory of Elder Care / Senior Care Resources) to help you find America’s Top Elder Care / Senior Care Professionals. You can find Local Elder Care / Senior Care Experts by Searching our National Database by City and Service Category. (This Search feature is located on the homepage of ElderCareMatters.com).
The Elder Care / Senior Care Experts who are found on ElderCareMatters.com can provide you with the help you need in a wide range of Elder Care / Senior Care Services, including Elder Law, Estate Planning, Home Care, Assisted Living, Care Management, Daily Money Management, Senior Living, Investment Advisory Services, Tax & Accounting Services, Wills & Trusts, Probate plus many other Elder Care Services.
We look forward to helping you plan for and deal with your family’s Issues of Aging.