How Relevant A Will Is To Your Estate Management Needs
You will find the need for estate planning necessary for a number of reasons. An example is where you as a property happen to pass on without a valid will and thereby rendering your beneficiaries no rights to your estate and property. These items of property and assets will pass to the government coffers in a process called in the legal world known as, “escheating”, to the said agency. As such it is advisable for one to consider the structure of their estate so as to be sure that this will get the beneficiaries they have the most of benefits.
Estate planning gains much relevance when you look at it from the demands of taxation laws. When your estate is not correctly planned, there will be punitive taxes on both capital gains and income on the beneficiaries to such assets in several jurisdictions the world over. If you did not receive the necessary professional advice for the creation of a proper estate plan from the right professional you will essentially get exposing your family to such taxations which are all but unnecessary and would have been avoided if a proper estate plan was availed. In the event of claims for dividend imputation credits, one will also need to provide testamentary trusts for the effecting of such claims.
The other often overlooked part of the estate planning procedure is the period preceding one’s death which will in most cases be occasioned by incapacity. For this reason, the periods will need the enduring power of an attorney, enduring guardianship or living will and advance health directive. The mentioned are legal documents which will stay in operation for the sake of planning for the estate and overall affairs of one when they are generally standing in long sickness periods and mental incapacitation. These will be good sources of assurance to the concerned that their wishes were lived up to even as they near their end of life.
The other factor necessitating the need for estate planning is the fact that we are today in a highly globalised world where one can own assets and property even in some foreign jurisdictions.
Given these reasons, it will be advisable for one to obtain advise from a professional who is qualified in the area of wills and estate management to get them the necessary advice for the planning and management of their property and estates.