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Aurora, Colorado Estate Planning and Trust Services
Estate planning is often something that people put off because it can feel like a complicated and difficult task. However, when you find out how much money an estate plan could save your family, you will realize it is worth the time and effort to get one.
We want to help you understand which type of estate plan best fits your needs so we've created this blog post with some pointers for what you should know before making any decisions.
But what exactly is an estate plan?
Estate planning in Colorado can be confusing, so let's go over the basics.
It is important to know that every state in America has different laws when it comes to estate planning, but Colorado offers some of the most progressive and extensive rules for protecting your assets. It can help you preserve wealth, minimize taxes or avoid probate of an estate.
It’s important to know that every estate is different, but there are certain factors that can determine which type of estate plan is best for you.
By definition, an individual or couple can set up three types of plans: revocable living trusts, wills and advanced health care directives.
The best way to determine your best estate plan is to use our estate planning assessment tool.
Here are some frequently asked questions about determining your estate plan.
First , what are the differences between a will and living trust?
A will is simply giving your assets to who you want upon your death. It allows for more flexibility than a trust, which can be revoked or changed if certain circumstances arise during one's lifetime. A revocable living trust typically works well for those with children under age 18 because it ensures that money won't go directly to minors without parental supervision.
When deciding whether you should have a living will, keep in mind that this blog gives instructions on how medical decisions should be made when someone becomes unable to speak his/her wishes due to illness or injury. If no such orders exist, then state law would determine what happens next.
Second , when should I set up a will or trust?
The answer to this question depends on your individual situation. If you have minor children, then it is important that they are provided for and protected financially, so we recommend setting one up as soon as possible.
If you already own property and/or investments outside of retirement accounts, these assets can be transferred with a valid will -- but keep in mind there may be certain tax implications involved with doing so. The same goes for life insurance policies if properly titled. For example, many people name their estate's executor as the beneficiary on an insurance policy instead of naming beneficiaries directly because it allows them more control over how those funds are dispersed.
Additionally, it is important to always keep your will up-to-date because many states including in Aurora, Colorado don't allow for "mirror" or copy wills.
For example, if you have an old trust that was set up when your children were still minors and want to update it after they're married with kids themselves -- then our firm would recommend starting the process over again from scratch rather than simply updating what's already in place. That way you can make sure all of your current wishes are properly accounted for within a legally binding document.
Third , how do I know which type of estate plan best fits my needs?
The simple answer: use our free assessment tool! We've worked hard to create something very useful to quickly understanding your estate needs.
Estate planning in Colorado can be complicated, but you don't have to go through it alone.
Our team of legal professionals is focused on providing excellent customer service and upholding the highest standards for estate law.
Call us today or schedule a free consultation online to get started!
Estate Planning In Aurora CO: Which One Is Best For You?
Here's What To Know First.
How much does an estate plan cost in Colorado?
When determining the cost of an estate plan, there are a lot of factors to consider.
In terms of wills and trusts, the first thing you should know is that these types of plans typically aren't created equally -- even if they have similar names or purposes. A simple will may not include any provisions for other family members besides yourself upon your death, whereas a living trust can be set up as part of one's overall estate plan . It allows property owners to keep their assets in the trust during their lifetime without having control over them directly. The difference here lies mainly in how much work must go into setting up each type of document; however, also depends on whether certain taxes will apply.
The cheapest option would be to prepare a simple will on your own, but you should know that this won't cover any other types of estate planning needs. If you don't have children or if they are already grown and out of the house, then it may not make sense for you to set up an advanced directive either.
Even after choosing between wills vs trusts , there is still more work involved in terms of deciding which type best fits your situation -- especially because different states recognize certain legal documents than others do! For example: Colorado does recognize both holographic wills and nuncupative wills as valid forms; however, each state has its own requirements regarding who can act as witnesses .
Another factor worth considering when determining is if your estate will go to probate.
What is probate ? Basically, it's a court-supervised process through which a deceased person's estate passes to their beneficiaries. In Colorado, probate proceedings can be avoided if your assets are held in joint tenancy with another party or transferred into an account that names the beneficiary directly.
The bottom line? We recommend using our free assessment tool to help you determine how much does an estate plan cost for you!
Here is why it’s so important to avoid probate
Avoiding probate is one of the biggest reasons you should consider an estate plan . Probate proceedings are public, which means everyone will know exactly what's in your will and how it was executed.
If something were to happen to you without a valid estate plan, then the court would appoint someone to distribute your assets according to Colorado law. This process can be costly , time-consuming, and open for interpretation by others who may not even live where you do! Some people also think that this kind of legal proceeding brings peace of mind -- but they're actually just adding more stress after losing a loved one.
So why put yourself through all of this?
Why I shouldn’t put off getting my will or trust.
Here are the top reasons why you shouldn't put off estate planning any longer.
You're getting older , and some of the things that used to be important are no longer relevant in the grand scheme of life. Unfortunately, this also includes your health -- which is why it's so critical for everyone to get their legal affairs in order before something unexpected happens!
If you don't have a will or living trust set up, then Colorado law will decide who gets what when you die . It may not end up being how YOU would've wanted it if were still here today though. To avoid leaving these decisions up to someone else, take advantage of our free online assessment below.
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