Articles Tagged with Nashville estate planning

Having entered the New Year you may have created a list of resolutions that you hope to accomplish sometime during 2015. Some may be looking to exercise more, eat healthier, or even save some more money. Although it may not be one of the first things that you think of in setting your resolutions, estate planning is a goal that can be easily accomplished without spending too much money or time. If you have questions about your estate plan, contact the Nashville estate planning attorneys at The Higgins Firm.

So you may be wondering what exactly an estate plan is. In its most basic form, an estate plan is a set of legal documents that explicitly set forth your decision on a number of issues. One of the fundamental estate planning documents is a last will and testament. Most people think of a last will and testament, more commonly known as a will, as designating where you want your assets to go upon your death. However, a will can also do so much more. A will can also nominate someone to handle the administrative affairs of an individual after he or she has died. This individual is known as the executor of the estate. A will can similarly nominate someone to serve as the guardian of any minor children in the event of a death. Courts often look to a will to determine if the deceased parent had a preference for choosing a guardian.

Another important estate planning document is a power of attorney. This document allocates authority to another individual to act on your behalf. You as the grantor of the power are able to specify in what circumstances the agent is able to act on your behalf. Some may choose to grant a wide range of powers to the agent while others may choose to grant only very specific powers to their agent. Similarly, some may choose to have the document only become effective upon the incapacity of the grantor while other choose to have the document and its powers become effective upon the signing of the document. There are two different types of power of attorney documents. One is a power of attorney for finances which can include the ability to conduct business, write checks, contract, etc. The other is a power of attorney for health care which enables the agent to make health care decisions for a person who may not be able to make decisions regarding his or her own health. A power of attorney can be a useful tool in the event that you are no longer able to make decisions for yourself.

Life is full of change. Many of those life changes can reach much farther than people realize. While a large portion of the population has been affected by a divorce, often those individuals do not understand the impact that it may have on their estate planning documents. Exactly what happens to a last will and testament or power of attorney after there has been a divorce? It is important to understand what can happen if your documents are not updated. If you have questions how a major life change may affect your estate plan, contact the Nashville estate planning lawyers at The Higgins Firm.

One of the most basic estate planning documents is the last will and testament. What impact does a divorce have on a will in Tennessee? If a will is executed by an individual who later becomes divorced, Tennessee law eliminates the ability of the former spouse to recover under the will. Similarly, the divorce also revokes any power of appointment or nomination of the former spouse as executor, conservator, or guardian within the will. Should the individual desire to keep the former spouse as a beneficiary of the will or have the former spouse appointed, the will would expressly need to provide that the specific Tennessee statute does not apply. Only a divorce or annulment will result in the automatic revocation. A divorce will have the same effect preventing a former spouse from recovering from an individual who died intestate, or without a will. A formal separation of the spouses will not revoke the ability to recover under the will or under the laws of intestacy. If you have gone through a divorce or separation, it is important to update your will shortly thereafter to ensure that your assets pass to the individuals that you so desire.

However, a divorce will not automatically revoke a former spouse from recovering as a designated beneficiary. A beneficiary designation on any life insurance policy or other death benefits is considered to be a contract between the participant and the company or organization issuing the policy. Because these beneficiary designations are considered to be contractual, the designation can only be changed by complying with the terms of the contract, generally a written beneficiary designation form. In other words, a divorce or drafting a new will cannot automatically revoke a former spouse’s beneficiary designation. It is very important to change these designations shortly following a divorce.

This time of year brings families together to enjoy food, fellowship, and maybe even a little football. Whether your Thanksgiving involves a small gathering of close friends or a large get-together with distant relatives, this is a time to be thankful for all of those loved ones in our lives. As you meet with your loved ones, it is a great opportunity to think about your estate plan. Being around your family may help you evaluate who would best serve in certain roles or who may need some extra protection in the future.

While your estate plan may not be your first concern, having an estate plan in place should be a priority. After all, having an estate plan in place can provide you with the peace of mind that your loved ones are cared for. You may be wondering what exactly makes up an estate plan? In its most basic form an estate plan is comprised of legal documents that explain where you want your assets to go or who you want to make decisions on your behalf if you are unable to do so.

A last will and testament is one of the most important parts of an estate plan. In its most basic form, a will documents where a person’s assets should pass upon death. However, a will does much more including the ability to set up a trust, nominate a trustee to manage the trust, nominate a guardian for any minor children, and nominate a potential executor of the estate.  Communicating these decisions to any family members can allow for a helpful discussion and can eliminate any surprises down the road.

You have probably been told before that a day signified a certain nationwide event like National Donut Day or National Hot Dog Day. Often these days are used to celebrate and bring awareness to certain areas in life. The same goes for estate planning. October 20-26 marks this year’s National Estate Planning Awareness Week. While National Estate Planning Awareness Week does not sound like as much fun as National Donut Day, it does seem to hold much more importance. With upwards of 120 million Americans who are lacking an up-to-date estate plan to protect themselves or their families in the event of untimely sickness, accidents, or even death, obviously this week emphasizes the value of having an updated estate plan in place.

So why is having an estate plan so important? An estate plan can ensure that your loved ones are provided for if you were to pass away or that a loved one is able to make a decision on your behalf if you were unable to do so. In a general sense, an estate plan is typically comprised of legal documents that designate your specific decisions to a number of choices thereby eliminating any potential uncertainty.

One of the most basic estate planning documents is a last will and testament. This document primarily directs where you would want your assets to pass in the event of your death. Without a will, state statutes will determine where your assets would pass upon your death. A will can also direct who should be appointed as a guardian for any minor children. A will can also direct who you want to act as the executor of your estate. It is important for adults of any age to have a last will and testament in place.

When thinking about what to leave to loved ones after you have passed away, you may first think of your bank account, car, or house. While many people choose to leave their tangible assets to specific individuals in a will after they have died, more and more people are choosing to leave behind their digital assets. Although many will not think of their digital assets when creating their estate plan, digital assets often can be very valuable. In addition, these non-tangible assets can also be harder to pass down to your loved ones due to their nature. Specifically, you cannot exactly hold or move your social media or email accounts like a painting or television. You often need to know certain information to access these assets. If you have a question about passing down your digital assets, contact the Nashville estate planning lawyers at The Higgins Firm.

Possessing digital assets is a growing trend that shows no signs of slowing down. Many people store their music, pictures, or other information online. Whether the assets contain actual monetary value or merely sentimental value, you as the owner have the ability to choose what should happen to those assets after you are gone. People may want to pass along their Facebook, Twitter, blog, or email accounts to loved ones. Other types of digital assets may include website domain names, online stored documents, online bank accounts, iTunes accounts, or anything similar. The choice to pass on any of these assets should be left up to you.

One of the best ways to pass on your virtual assets is through your will or estate plan. You can choose to specifically grant your heirs access to your digital assets through these legal documents. Designating a digital executor can allow this person to have access to these items. Although this will grant the individual legal authority for access, some user-service agreements and laws may restrict access. Unfortunately, some of these agreements and laws are behind the trend of passing on these digital assets.

Having an estate plan in place is important for every individual. An estate plan is a set of legal documents that sets forth what you would want to happen to your assets if you were to die or become incapacitated. An estate plan can also establish a decision maker in the event that you are no longer able to make decisions for yourself. A Nashville estate planning attorney can help you draft the necessary documents that you need to protect your assets and provide for your loved ones.

There are a number of key steps involved to drafting your estate plan. The following will provide you with some of the most important steps:

1. Inventory Your Assets and Debts