Without this New Year’s Resolution, it could be a matter of life and death. | Setting up your Estate PLan, Living Will, Living Trust, and Power of Attorney in Dallas

Another year is here…and you haven’t made your estate plan yet?  This is one resolution you can’t afford to put off, because of the financial and legal burdens placed on your family if it is ignored. The objective of an estate plan is to ensure your assets are protected, both while you are alive and after your death.

Estate tax laws are changing, so you need to work with a qualified estate-planning attorney to make certain your estate plan does what you want it to do.  For example, the estate tax exemption is $5 million for an individual and $10 million for a couple with a maximum tax rate of 35% for those who die before January 1, 2013.  It is unclear what it will be starting January 1, 2013, therefore, if you already have an estate plan, you may need to rewrite or review it before the end of the year to reflect current tax exemptions and tax rates.

Estate Planning is not just for the elderly or the rich.  In addition, estate planning is not just about what happens when you die.  It is also planning in the event you become incapacitated.  At the age of 18 you become an adult.  Although you may not need a Will, you do need at the very least a Power of Attorney.   If you want to make sure you and/or your family is protected if you become incapacitated, or die, you need to consider having the following documents in place:

• Last Will and Testament
• Specifies asset distribution upon your death
• Statutory Durable Power of Attorney
• Empowers you to decide who controls your assets if you are
• Incapacitated and not able to do so, or if you are planning a trip and not able to take care of your finances
• Power of Attorney for Healthcare 
• Gives you control over who makes medical decisions on your behalf if you are incapacitated and not able to do so
• Directive to Physicians (Living Will) 
• Enables you to decide which, if any, life-sustaining treatments you want in the event of a terminal or irreversible medical condition

Don’t let your most vital needs go another year (or two) without being addressed.  Resolve to start 2012 by creating, reviewing or revising your estate plan. It makes no sense to have no plan.