Estate Planning in the 21st Century

Tuesday, May 22, 2012

Estate Planning in the 21st Century

While Investments have evolved from the simple standalone business establishment to the vast and improved adaptation to technology such as online investments, estate planning has also gone too far to suit the trends in latest technology. Yet, most people think that Estate Planning is too complex and reaches beyond the necessary.

Many investors, investment advisors and business owners today invest through online advertisement by creating their own websites, joining social media networks and even earn passive income through affiliate marketing and Adsense. Typically, access through these sites is safeguarded through the use of usernames, passwords, security codes and other protection that are distinctive in nature. With proper Estate Planning, these activities and account information can be identified with clear instructions to access the accounts. This will enable family members to be aware that these accounts exist and how to access them in case of an untimely death.

Estate planning in the 21st Century does not only focus more on the appropriate distribution of wealth among heirs but also other factors that the individuals held near and dear to their heart. For most people estate planning is initiated through the execution of the will. While many others believe that preparation of a will should be made in accordance with the law to avoid paper technicalities, others find it impractical and costly to create and plan a will statement. However, creating a will can allow for proper execution and allocation of your prized possessions.

A well-planned will can be prepared through assistance of a lawyer. The will may indicate the sources of active and passive income, online investments, bank accounts and their proper allocation. Passwords and other detailed security information must be handled with caution and should only be divulged to the stated person. Digital assets and investments are eminent nowadays and should be covered with clear identification, proof of ownership and supporting documents. These documents can be retrieved with the help of investment advisors. Guidance from investment advisors and professionals should be sought so that proper advice can be used for the transfer of ownership.

Appropriate identification of guardians for minors should be declared to prevent the state from enforced declaration to minimize processing cost and charges. Even trustees are recognized when annual gifts are given to minimize Estate Taxes.

Nowadays, Estate Planning not only discusses investments alone but extends its coverage even to pets. Creating a monetary provision for the caregiver of one’s pets enables the owner to arrange care for his pet in case of an untimely death.

The hard work and efforts of an individual need to be safeguarded in today’s society. It’s important to be aware of all of the individual’s assets so that they can be cared for and executed to the full wishes of the owner. Estate planning can provide peace of mind to individuals executing the will and also the loved ones around them.

Author: Sarah Stoltzfus

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