The Importance of Estate Planning and Business Succession
Consider planning for the sake of your family and loved ones in your life. If you die intestate, in other words without a will, your state's laws determine how your property is distributed. In certain cases they escheat ("given") to the state. The laws are differ from state to state, but typically the distribution would be to your spouse and children, or if none, to other family members. The problem herein lies that what your legislator's in your congress guessed as to who should get your property may be completely at odds with your current life situation. By planning your estate know you will alter any state default's to you current life situation. Each of the following instruments acomplished different estate and life planning needs, if carefully reviewed by your attorney:
WILL & TESTAMENT - Designates the disposition of your assets based on your desires. Florida Statutes have created the intestate laws to administer how assets are distributed when a person dies without a will. The legislatures process may not be reflective of your desires.
TRUSTS Revocable or Irrevocable - Have many benefits as opposed to just having a will. The common benefits that trust arrangements offer include:
1) Providing personal and financial safeguards for family and other beneficiaries;
2) Postponing or avoiding unnecessary taxes;
3) Establishing a means of controlling or administering property; and
4) Meeting other social or commercial goals.
LIVING WILL - Used to communicate your desires to be removed from artificial life support systems.
HEALTH CARE SURROGATE - Authorizes the person you trust to make medical decisions for you in the event you are incapacitated. The law designates certain individuals by default, however the law may not reflect your needs.
DURABLE POWER OF ATTORNEY- Designates individuals to have certain powers, such to handle your finances, in the event your incapcitated.
BUSINESS SUCCESSION PLANNING - If you have a business, you may bring your family into a situation that will lead to the failure of a business one has spent years building up. One must consider several factors to ensure the continued viability of your company so that future incomes are sustained and the current value of the company continues strong in the event of a future disposition.