Age With Confidence
And Grace

Are You Ready To Start Your Estate Plan?

Everyone has some anxiety about crafting their estate plan. It’s natural to feel uncomfortable, considering what will happen to those you love after you pass. That’s why you want to work with an experienced attorney who will help you maintain clarity and put you at ease.

For over 30 years, I have helped families throughout California set up and settle their estate plans. I work with people from every walk of life and offer guidance on all of their estate planning concerns. My goal at The Law Office of Philip M. Flanigan, P.C., is to help you create an estate plan that gives you confidence for your future and security for your heirs.

The Right Time To Create An Estate Plan Is

When you’re ready and while you are able. However, what “ready to establish an estate plan” looks like is different for everyone. Most of my clients tell me that they decided to take the step because:

They are getting older
They don’t want the state to take it
They are going on a trip or have a surgery coming up
They recently lost a friend or loved one

While these are a few of the reasons people often decide to start their estate plan, I don’t focus on your reasons. Rather, I focus on your needs and work hard to build a plan that helps you have confidence in your future. It is also important to realize that our tomorrows are never guaranteed. Thus, the ideal time to plan is now when you have the ability to do so.

Common Parts Of An Estate Plan

The major goals of an estate plan are to minimize the time and cost associated with settling the estate, minimizing the tax burden on your estate and preserving the assets for your heirs. It also creates a method whereby the people you trust can act on your behalf in the event of your incapacity. A comprehensive estate plan may include some of the following:

Crafting trusts
Establishing wills
Creating a durable power of attorney
Creating advance health care directives
Creating a gifting plan

I will guide you through the entire process of creating a solid estate plan that will be easy to understand and follow without the necessity of going to Court. I will also guide you on matters with Medi-Cal long-term care benefits, ensuring that your needs are met but that you don’t lose your entire estate in the process.

How Are Wills And Trusts Different?

Trusts and wills are both valuable tools in estate planning. However, they each have unique features and serve different purposes. Understanding these differences can be key in ensuring your estate plan has what it needs. Here are some of the main ways these two tools differ:

Formation requirements: Your will needs to be in writing, and you generally must sign it with two witnesses present. Trusts only require intent to form, clear beneficiaries and property (with additional requirements if real estate is involved).
When they go into force: A will’s terms take effect only after you pass away. A trust is active upon formation.
Incapacity planning: A will can’t be used for planning what will happen if you become incapacitated. Trusts can address this situation.
Asset goals: A will can direct what happens to your property after you die. Trusts can help with a wider range of goals, including asset protection.
Probate planning: A will cannot keep assets out of probate. Trusts can.
Role assignment: Trusts can only name roles within the trust, like trustee and beneficiary. A will can name a personal representative for your estate and guardians for your children.
Privacy: Wills become public record when they proceed through probate. Trusts generally remain private.
Making changes: You can change a will by forming a new one or using a codicil. Whether you can change a trust depends on its type. Revocable trusts can be modified. Irrevocable trusts usually can’t without court approval or beneficiary consent.

What tools would be best suited for your estate plan depends on many factors. I can answer your will/trust questions and advise you on what specific tactics and strategies would meet your unique needs.

What Is The Role Of An Estate Executor?

An estate plan lays out guidelines for asset distribution and other key steps, and it is the estate executor or estate administrator who follows these guidelines. Key tasks include distributing documentation to beneficiaries, inventorying assets, paying outstanding debts to creditors, paying taxes and distributing remaining assets in accordance with the estate plan.

What Is The Role Of A Trustee?

Similarly, a trust can hold assets for a specific beneficiary, and it is the trustee who is in charge of administering that trust and distributing the assets. The beneficiary does not directly own those assets and cannot access them without the approval of the trustee, who honors the guidelines left by the grantor.

Qualities An Estate Executor Or Trustee Should Possess

Choosing an executor or trustee is a critical part of creating a reliable estate plan. Under California law, this person must uphold strict fiduciary duties, including acting with honesty, loyalty and reasonable care. They should be organized, financially responsible and capable of managing deadlines, records, and communications with beneficiaries and professionals.

You may select a trusted individual or appoint a professional fiduciary with experience administering estates or trusts. Before naming anyone, speak with them to confirm they understand the role and are willing to carry out your wishes responsibly and in accordance with your estate plan.

Essential Documents To Collect For Estate Planning Sessions

For your estate planning sessions, gather all documentation related to your finances and tangible assets, including:

Bank account statements
Pension and retirement plan documents
Deeds and titles for real estate
Stock certificates
Business agreements and documentation
Copies of liabilities, such as mortgage loans or credit card bills
Personal and business tax returns
Life insurance policy documentation

Any documents related to your final wishes, lifestyle and financial picture can improve your sessions.

When To Update Your Existing Estate Plan

In most cases, an estate plan should be reviewed regularly to help ensure it continues to reflect your wishes, prevents unintended consequences and complies with current California law. Many attorneys recommend reassessing your documents every three to five years, as outdated instructions can create confusion, exclude intended beneficiaries or lead to avoidable disputes.

It is also important to revisit your plan after any major life events, including marriage, divorce, the birth or adoption of a child, the arrival of a grandchild, the death of a beneficiary, significant changes in assets, relocation or a serious medical diagnosis. Each review should also account for updates to estate planning or tax laws that may affect your goals.