Estate Planning Basics in Connecticut
“Say not you know another entirely, till you have divided an inheritance with him.” – Johann Kaspar Lavater
As an attorney with school-aged kids, a comment I often hear from friends and family members is something like, “We need to get a will” followed by something like, “We’ll do it eventually.”
Basic estate planning is sufficient for many people and is very cost-effective. (There are even do-it-yourself options such as LegalZoom.com that would, at least theoretically, allow you to sidestep even minimal attorneys’ fees. (Then again, you may not want to entrust your end-of-life decisions and disposition of your assets to a one-size-fits-all form, a faceless website, or a company with the word “depot” in its name.)
Regardless of what avenue you may choose, there are a few basics to consider, and three basic elements to an basic estate plan:
- A Will (Yes, You Need a Will.)
Although there are situations when a will is arguably superfluous, a will is the best mechanism for a testator to make clear his or her intentions upon death, whether as to financial assets, guardianship, tangible assets, real property, sentimental items, pets, etc.
I once read a comment from a financial adviser that, “I have seen families split apart over a spoon.” Comments like this suggest a will should be executed, if nothing else, for the avoidance of doubt about your intentions and to help avoid disputes among your loved ones. Also, a will allows a testator to designate and authorize a trusted decision-maker (“executor”) to make decisions about disposition of assets.
If you die “intestate” (without a will), your wishes may not matter. Further, probate disputes are emotional and, precisely for that reason, very time-consuming and expensive.
Of course, complications can arise that mean a “simple” will is no longer sufficient.
2. Advance directives
“Advance directives” refers to either (1) executing a “living will” or health care instructions; or (2) appointing a health care representative.
A living will states your wishes about what kinds of medical treatment you want, and don’t want, in the event you are terminally ill or in a permanent coma. For instance, the living will can set forth your wishes and decisions about feeding tubes, breathing machines, or other life-supporting systems.
A living will has no legal effect until you are unable to make or communicate decisions yourself.
A health care representative is a person(s) you designate to make healthcare decisions on your behalf, likewise when you are unable to make or communicate decisions yourself.
3. Durable Power of Attorney.
A Power of Attorney (POA) is a binding document that allows an agent to act for you and sets forth the scope of this authority. “Durable” means the POA and authority is effective even after you become incapacitated. (In Connecticut, all POAs are durable unless otherwise stated.)
Any POA creates a risk that an unscrupulous agent will abuse his or her authority. A “springing” POA tries to answer this, by taking effect only when a specific event arises.
This content is provided as background and does not constitute legal advice. For more information or to schedule a free consultation, contact us at info@lalorattorneys.com / 646.818.9870.
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