When preparing an estate plan, some Georgians may overlook their digital assets. Many people don't even think of themselves as having digital assets of any worth. According to a study by McAfee, however, the average American has $55,000 in digital assets. This figure assesses the potential worth for people who value the assets, not the resale amount.
Some Georgia residents may think that creating a will is enough to ensure that assets are passed down to the right loved ones. Unfortunately, this is not always the case. Some assets, such as retirement accounts and life insurance, pass by beneficiary designation. There are a number of common errors that can be made with these assets.
Georgia parents of children with special needs often have significant concerns about what will happen to their kids after they die. Due to this concern, many parents take special steps when planning their estates to ensure that their children are adequately provided for.
Revocable trusts help Georgia estate owners maintain control of their assets prior to death. These estate planning tools could ease burdens on relatives if the trust creator becomes incapacitated. While the estate owner is alive, they can be the primary beneficiary and trustee of a revocable trust.
The use of a revocable trust can offer many benefits to those living anywhere in the country. For instance, those who have property in Georgia and other states can simplify the process of settling an estate by putting it all into a trust. Furthermore, an individual may benefit from the fact that the terms of a trust don't need to be made public. Therefore, it is possible that only beneficiaries will know the details of a person's estate.
Federal estate tax exemptions have risen in recent years to be more generous, which is why many Georgia residents believe that only the wealthy need to worry about their estate plans. A study from the American Association of Retired Persons suggests that only 22 percent of millennials have drafted basic estate planning documents like wills or trusts. Experts in this field may argue that failing to take steps to guard against the uncertainties of life is unwise, and they could point out why putting a rudimentary estate plan into place makes a great deal of sense even for the young.
People can use an estate plan to ensure that their assets are handled according to their wishes. However, assets can include more than just traditional liquid money and real property, As the world becomes more digitalized, Georgia residents should make sure that their estate planning also addresses digital assets.
Many people in Georgia want to ensure that their children are provided for in the future. At the same time, they may worry about how young, irresponsible or financially inexperienced children will handle significant amounts of wealth after a sudden inheritance. Many people have experienced financial disaster after acquiring large sums of money quickly and lose their assets as a result. This is one reason why parents may look for estate planning solutions that can impose protections as part of the transfer of assets, especially for beneficiaries who are particularly likely to overspend and lose their wealth.
Georgia residents who do not have an estate plan might want to consider creating one in the new year. The first step is to review and make a list of all assets in the estate. If there are any issues with asset titles or other ownership problems, these should be resolved. One can then create a will or trusts and choose who will receive assets. Without these documents, those assets will be distributed based on state laws.
Almost any Georgia adult could benefit by creating an estate plan. This is true regardless of a person's monetary status as such a plan can account for more than just the transfer of assets. For example, it could also determine who would be reponsible for a minor child in the event that a parent became incapacitated or died suddenly.