Maximize Wealth with This Precise Estate Planning Strategy
Key Components of Estate Planning
1. **Wills and Trusts**: These are foundational documents in estate planning. A will specifies how your assets should be distributed, while trusts can offer more control over when and how your assets are distributed. Trusts can also help reduce estate taxes and avoid probate1.
2. **Power of Attorney**: This legal document allows you to appoint someone to manage your affairs if you become unable to do so. It ensures that your financial and healthcare decisions are handled according to your wishes2.
3. **Healthcare Directives**: Also known as living wills, these directives specify your preferences for medical treatment if you become incapacitated. They ensure that your healthcare decisions are respected and relieve your family from making difficult choices during stressful times3.