Estate Planning
An estate plan is a series of documents in which you provide instructions and declarations regarding your care if you were ever mentally or physically incapacitated and how your assets should be distributed upon your death. An estate plan is usually created with an attorney and may involve several meetings where an attorney will ask a series of questions designed to gather information about your financial, medical and familial issues to prepare your estate planning documents.
personal representative
Administering an estate is much simpler than years ago, when “going through probate” was time consuming and complicated. Most Colorado estates can be taken care of in approximately one year. In a simple estate, for example, where not much money is passed from husband to wife or there is only one beneficiary, you may not need an attorney. In most other estates, you will want some advice and help. Some wills, particularly older ones, may name an attorney to help with the estate. You need not hire that attorney, though there are often good reasons to do so.
medical directive
Every adult has the legal right to consent to or refuse medical treatment, and may declare their wishes in writing in the event that they cannot communicate them. All medical facilities that receive Medicare or Medicaid funds must tell their patients about these rights. Patients should make their your wishes known in the event they become incapacitated. Most hospitals ask for any advance medical directives you may have, and many even provide a short form for you to make the decisions on the spot. However, you are not required to have any advance medical directives in order to receive care, treatment, or be admitted.
Wills
A will is the most common estate planning document that all individuals should create regardless of their financial status. A will is a set of instructions that directs the personal representative to follow to settle your estate when you die identifying when, how, and to whom your assets should be disposed of and your business affairs should be addressed, if applicable. In addition, a will is a helpful tool to name a guardian for minor or disabled adult child(ren). A willmaker must be at least 18 years old.
Trustee
Trust agreements generally provide the trustee with guidelines related to the scope and duration of their authority, how assets are to be managed and distributed, and when and how to work with the beneficiaries. While direction may be provided to the trustee, trust agreements can often be complicated and may even have ambiguous or conflicting terms, and therefore many trustees (even professional trustees) consult with an attorney to ensure that they carry out their duties and responsibilities correctly in order to protect themselves and effectuate the intent of the trustmaker.
Agent Under FInancial Power of Attorney
If you have recently learned that you have been designed as an agent under a power of attorney, this brochure is intended as a general guide for you. First you must read the power of attorney document to learn what your duties, responsibilities and powers are regarding managing the principal’s finances and property. If you have more detailed questions about your role as an agent, you should consult an experienced probate attorney. The role of an agent is a voluntary role. You are not required to serve. However, if you choose to take any actions as an agent, you will have important duties and responsibilities to the principal.
What to do When Someone Dies
Coping with the loss of a loved one is difficult. We hope this information will help you focus on what you need to do and what you may wish to delegate to friends and family. This brochure will provide you with some basic information on what you may need to know in the first few days following a death. You should establish an early relationship with your attorney to assure that all matters are properly addressed. Seeking your attorney’s advice before you act may avoid more costly legal services later.
Financial Power of Attorney
A Financial Power of Attorney, also known as a General Power of Attorney or General Power of Attorney for Property gives an agent authority to manage your finances and property, and to transact business on your behalf. The agent has the obligation to make decisions based upon your preferences and the authority granted in the document. An agent may not override your wishes. In general, the agent has authority to do whatever you would do, for example, withdraw funds from bank accounts, trade stock, pay bills, cash checks as expressly limited in the power of attorney.
Intro to Estate & Gift Taxes
If you give someone money or property during your life, you may be subject to federal gift tax. The money and property you own when you die (your estate) may be subject to federal estate tax. The purpose of this publication is to give you a general understanding of when these taxes apply and when they do not. It explains how much money or property you can give away during your lifetime or leave to your heirs at your death before any tax will be owed. Most gifts are not subject to the gift tax and most estates are not subject to the estate tax. Making a gift or leaving your estate to your heirs does not ordinarily affect your federal income tax.