More and more individuals are turning to the Internet to cheaply create their Last Will and Testament. Although a will is a vital part of any estate plan, a good estate plan includes more than a will. A recent article discusses three additional documents individuals who just have simple wills should consider executing.
- Beneficiary Designations: Beneficiary designations are a person’s selections for who will receive the proceeds of life insurance policies, retirement accounts, bank accounts, annuities, and other accounts that are transferred via contract. It is important not only that an individual names a primary and contingent beneficiary for each of these accounts, but also that he or she updates these designations regularly.
- Financial Power of Attorney: A financial power of attorney allows an individual to select the person that he or she would like to manage his or her financial affairs. If an individual got into an accident and was incapacitated in the hospital, for example, his or her power of attorney would be able to continue paying his or her bills, and otherwise managing his or her financial and legal decisions.
- Medical Power of Attorney: A medical power of attorney allows an individual to select the person that he or she would like to make medical decisions on his or her behalf. An individual’s medical power of attorney will be able to access the patients medical records, and will be responsible for ensuring that medical professionals honor an individual’s living will.
