Many of our previous posts here have pointed out how estate planning can help Pennsylvania residents get piece of mind when they make a plan for how their assets will be distributed to their family members and close friends upon death. However, there are many different “in life” benefits to estate planning as well. For example, power of attorney documents are part of an estate plan, and these documents appoint an individual to make decisions for the planner in life if the planner is unable to make those decisions.
Another important benefit that comes with estate planning is that the process usually forces people to take an extremely close look at their overall financial picture and make certain moves for the benefit of themselves and others. This type of forced organization can help Pennsylvania residents who go through the estate planning process get a firm grip on their financial status, which can benefit them by allowing them to increase their assets according to a plan.
For some people, the in-depth look at their finances during the estate planning process may reveal funds they had forgotten about, such as retirement accounts at past jobs or IRAs that, perhaps, went unfunded for a time. For others, the estate planning process can help reveal the extent of debt, which can then lead to a plan for repayment being established, perhaps with automatic payments.
Estate planning can have all kinds of benefits for Pennsylvania residents. Estate plans are not just for the “rich” or those who have complex assets to address.
Source: USA Today, “Estate planning: How to ‘death clean’ your finances,” Dec. 29, 2017