The following article will cover:
- Healthcare Documents in Estate Planning.
- Planning for Incapacity During Lifetime.
- Trust Planning for Minor Children.
What Healthcare-Related Documents Are Necessary In Estate Planning?
In estate planning, it is essential to have healthcare-related documents in place to address both financial and medical needs. In Texas, for instance, six powers of attorney are typically created:
- Medical power of attorney: Allows designated individuals to make ongoing medical decisions after incapacity and before a terminal condition.
- Living Will: Allows the client to make decisions regarding life support when they are determined to be terminal.
- Release of medical records form: Grants family members access to medical information at any time.
- Statutory durable power of attorney: Covers financial transactions for assets outside of a trust, such as IRAs or life insurance policies.
- Declaration of guardian: Specifies the client’s preferred guardian in case someone else attempts to assume guardianship.
- Appointment of agent for disposition of remains: Streamlines funeral arrangements by limiting the number of people required to sign off on the arrangements.
Can I Plan For Possible Incapacity During My Lifetime?
Yes, you can plan for possible incapacity during your lifetime using trusts and powers of attorney. By having these documents in place, you can avoid emergency situations at the time of incapacity, whether temporary or permanent. It is also crucial to remember that individuals of all ages can benefit from having these documents, as accidents or illnesses can occur at any time.
Planning for minor children often involves creating a trust that extends beyond the parents’ lives and lasts until the children reach a specified age. Additionally, a declaration of guardian for minor children can be established to inform the courts of the client’s preferred personal guardian for the child. Finally, trust planning for minor children ensures uninterrupted access to funds for their care during the process of qualifying the guardian.