Getting one’s affairs in order can mean taking different actions for different people. It can also depend on the particular situation. However, when Arkansas residents are getting older, they may think of estate planning as an important step in ensuring that their affairs are in order for long-term care, funeral arrangements and distribution of their remaining assets.
Fortunately, there are many tools that individuals can use to address the particular details of their lives that they would like to leave instructions for. Not all of those tools have to be created in a legally binding capacity either. For example, creating a folder that contains important financial information, like account numbers and applicable passwords, is a useful step that could provide family members with crucial information.
When it comes to creating legally binding documents to instruct loved ones on how to close an estate or handle care-related situations, parties could use the following tools:
- a living will to detail what medical care is desired under certain circumstances
- a last will and testament to bequeath assets, name an executor and name a guardian of minor children, if needed
- a trust to have more control over how assets are distributed
- a power of attorney to appoint a trusted person to handle financial or medical decisions
- beneficiaries listed to payable-on-death accounts, like retirement accounts or bank accounts
The exact tools and planning documents that Arkansas residents need to complete their plans will depend on the instructions they want to leave for their loved ones. Estate planning can take time and much thought, and even after a person has completed an initial plan, it is wise to review the documents every few years in case details or wishes change. Individuals interested in getting started on their plans may want to gain reliable information from local legal resources.