Creating a will or thinking about an estate plan can be uncomfortable, and it can be easy to postpone the process. However, planning earlier can provide more time to consider your property, beneficiaries, healthcare wishes, and the people you may want to make decisions on your behalf if you become unable to do so.
Wills and other estate-planning documents can also be reviewed and updated as family, financial, and personal circumstances change. Estate planning is not limited to people with substantial wealth.
At Inman, Stadler & Hill, we help clients evaluate their estate-planning options and prepare documents based on their individual circumstances and goals. Contact us today for a consultation to learn how we can help you.
What’s the Difference Between a Will and an Estate Plan?
A will is a legal document that can direct how property in your probate estate should be distributed after your death. It can provide for family members, friends, charities, or other beneficiaries. A will can also name the person you want to serve as personal representative of your estate and can identify the person you would prefer to serve as guardian for minor children if a guardian becomes necessary.
Not every asset is necessarily controlled by a will. Assets with valid beneficiary designations and certain other nonprobate arrangements may transfer separately from the probate estate.
An estate plan is broader. It may involve a will along with trusts, powers of attorney, an Advance Directive for Health Care, beneficiary designations, and other arrangements involving how property is owned or transferred. Estate planning can therefore address both what happens after death and who may be authorized to make certain financial or healthcare decisions during a person’s lifetime.
Is It Better to Have a Will or an Estate Plan?
Whether someone needs a relatively simple will or a broader estate plan depends on their circumstances. A will may address important issues concerning probate property and the administration of an estate, but it does not address every financial, healthcare, or asset-transfer issue that may arise.
A broader estate plan can coordinate a will with beneficiary arrangements, trusts when appropriate, financial powers of attorney, healthcare instructions, and other planning tools. Coordinating these parts of the plan may reduce uncertainty and make a person’s intentions clearer, although no estate plan can eliminate every possibility of a disagreement, legal challenge, or change in circumstances
Medical Directives in Estate Plans Are More Important than Ever
Estate planning can address more than what happens to property after death. It can also provide instructions concerning healthcare decisions if a person becomes unable to communicate or make those decisions independently.
In Tennessee, an Advance Directive for Health Care can be used to state treatment preferences and designate a healthcare agent to make decisions when appropriate. Creating an advance directive gives you an opportunity to document your wishes and choose someone you trust to act on your behalf if you cannot make or communicate healthcare decisions yourself.
Because medical circumstances can be complex and may change unexpectedly, clearly documenting those wishes and discussing them with the people involved can be an important part of planning.
The State Will Choose Who Raises Your Children if You Don’t Specify
Parents of minor children may also want to consider who should care for their children if the parents die or are otherwise unable to provide care.
Tennessee law permits parents to designate a person they would like considered as guardian in a will or another written document. That designation can carry significant weight, but it does not automatically determine who will serve. A court retains responsibility for appointing a guardian and must consider the child’s best interests.
Putting your preference in an appropriate written document can therefore give the court important information about whom you would trust to care for your children while recognizing that the final appointment remains subject to Tennessee law and the circumstances existing at that time.
Don’t Wait to Create a Will or Estate Plan—Contact Us Today
Estate planning can be useful at many stages of life. The appropriate plan will depend on factors such as your family, property, beneficiary arrangements, healthcare wishes, and financial circumstances.
As those circumstances change, wills and other estate-planning documents may also need to be reviewed and updated. The Tennessee estate planning lawyers at Inman, Stadler & Hill can discuss your goals, explain available planning tools, and prepare documents based on your particular circumstances.
