Santana Torres Law Offices, PL

In Florida, if you do not create an Estate Plan, you will die "intestate" (without a will) and your property will be distributed according to law.  This means that your spouse and perhaps your children will share everything as set forth by law rather than as you would have it. 

Taking the time to create an Estate Plan allows you to decide who will receive what of your personal belongings, real property, and other assets.  An Estate Plan will allow you do many things, such as, set guidelines for at what age and in what amounts your children will get assets; name a guardian for your children; establish trust with specified purposes such as education, travel or business; you can even name a guardian for yourself should you become incapacitated. 

These are really essential things which concern not only our wealth, but our health and welfare.  It is not exaggeration to say every person should have a Last Will and Testament, a Living Will, and a Power of Attorney or Pre-Need Guardian Designation and Health Care Proxy.  The greater your wealth, the more options you have and the more intricate your Estate Plan may become, including specialized trusts, family partnerships, etc.  But even if you own little in assets, you should carefully consider the consequences of not having an Estate Plan:

• Upon your death, your spouse will not have full control of your assets.  Approximately half could go to your children, even if they are adults.  If they are minors, the money will be tied up in a guardianship.

• If you are incapacitated and your spouse needs to sell some asset in order to cover costs of hospitalization of extended care, he or she may not be able to do so without a Power of Attorney ... your assets will be essentially "frozen" until you pass away.

• If you and your spouse die together leaving minor children, the issue of who will care for them will be decided by a judge, not by you.

• If different family members disagree on end of life treatment and procedures, your medical issues could turn into a court dispute, and could even become a media sensation like Terry Schiavo.

These are just a few scenarios which most people should avoid, without regard to their current health or wealth.  

Estate Taxes

Federal Taxes are imposed on the transfer of wealth at death.  The tax is considerable and asset protection oat least minimal tax planning is in order for most estates which include a homestead.  These federal taxes are particularly considerable for non-U.S. Citizens.