California is a great state to spend your life in after retiring. However, it is a good idea to think about estate planning well before you reach that milestone. Taking care of these matters might sound uncomfortable, but it doesn’t have to be. With that in mind, here are the main things to consider during the estate planning process.
Creating a list of assets
Before you start naming beneficiaries, it’s smart to have a clear picture of what you own. Fortunately, you can do this by creating a list of your assets. This list should include tangible assets like homes and vehicles. You’ll also want to include intangible assets like money and stock you own. By doing this, you avoid leaving out anything important.
Choosing between a will or trust
While getting an estate in order, most people choose between either a will or trust. Either option produces a legally binding document that details your final wishes. As convenient as it might be, naming your beneficiaries without a will or trust won’t make your wishes so. Most people choose trusts as they can help avoid probate. Trusts are also great for people who have rules about how they want their assets distributed.
Naming your beneficiaries
Another thing to take of during the estate planning process is naming your beneficiaries. Your beneficiaries are who will receive what you leave behind. Typically, beneficiaries are your family and dear friends. Some people also name charities as beneficiaries.
Wrapping things up, estate planning involves making several important decisions. By planning your estate, you can provide for your family after you’re gone. Also, having an estate plan removes the stress of forcing your family to divide your assets.