In a time of uncertainty, many people find comfort and peace in creating an estate plan that will help to ensure that their legacy is protected. Now is a good time for those without estate plans to have basic plans put in place and those who already have plans to ensure those documents (which may have been drafted many years ago) correctly reflect their current wishes.

A basic estate plan typically includes five instruments: a Will, a Trust, various Guardianship documents, and powers of attorney for health care and property, each of which serves an important purpose in the overall plan.

Will

The main purpose of a Will is to distribute property that is not included in a trust and remains part of the probate estate at death and declare who will be in charge of distributing your assets. In general, Texas is a relatively easy state to probate a Will and therefore many Texans see the value in having an up-to-date Will.

Trust

A Trust is an important part of a substantive estate plan. A trust is a legal device used for the management of property.  In a trust, legal title to the property — the right to manage the property — is held by one person, called a trustee, while another person, called the beneficiary, has the beneficial right to the use and enjoyment of the property.

Guardianship Designations

Under Texas law, people can designate another person to serve as their guardian if the need arises. Parents of minor children are also able to name a designated guardian for their minor aged children if a parent passes away.

Powers of Attorney

The Durable Power of Attorney and Medical Power of Attorney address situations where an individual is alive but not able to act for her or himself. The Durable Power of Attorney allows the person appointed by the individual (an “agent”) to deal with the individual’s various financial and legal matters in the event the individual is not able to do so because of illness or other incapacity. Similarly, the Medical Power of Attorney allows an agent appointed by the individual to make health care decisions for the individual.

For individuals who already have the benefit of an estate plan in place, now is an excellent time to review current documents to confirm that the provisions reflect their current desires and adequately address recent family circumstances. In particular, individuals should review their current asset values, titling, and beneficiary designations. In addition, individuals should confirm that those named as their executors, trustees and agents under powers of attorney remain appropriate.

At Weldy Law, we regularly engage with clients looking to create a solid estate plan, asset protection, or an established trust. Ready to set up a consultation? Contact Weldy Law, PLLC and we’ll discuss Texas estate laws, how our process works, and discuss questions you might have.

The above blog is for informational purposes only and is not legal advice nor does any information or communication with this website create an attorney-client relationship.