One of the many things individuals learned from the pandemic is that the unexpected can happen, and the best way to be prepared is to have a plan in place that meets your evolving circumstances. It is wise to proactively take stock of your physical and financial health throughout various stages of life and consider many end-of-life decisions, including how you can help them maintain their lifestyle in your absence.
Following are some of the estate planning documents you may already have and should review regularly to ensure they align with your current wishes, needs and goals. If you do not have these documents, it is never too late to get started.
Wills and Trusts
A last will and testament serves as the foundation of your estate plan. It allows you to record your wishes for the handling of your affairs and transfer of your assets to beneficiaries upon your death. After you pass away, these documents and the details of financial assets become public records unless you create a revocable trust that allows assets to flow to heirs outside of the very public, complex and time-consuming probate process. Furthermore, a trust enables you to control and properly structure the assets and wealth you built during life, including how they are valued, taxed and maintained for the benefit of your heirs.
Durable Power of Attorney
By drafting a durable power of attorney, you may assign another person to make critical financial decisions on your behalf when you cannot do so yourself due to illness or incapacitation. Without this legal document, the courts may be forced to make these decisions for you.
Living Wills
A living will is a legal document that allows you to specify end-of-life medical care you authorize or do not authorize to be used in the event you cannot make those decisions for yourself. This can include your preferences to receive or decline a range of specific life-supporting measures, including ventilators, breathing tubes, surgery and palliative care, such as pain medications to keep you comfortable.
Do Not Resuscitate (DNR) and Do Not Intubate (DNI) Orders
DNRs and DNIs tell doctors and hospital staff that you do not want them to take extraordinary measures to keep you alive. It is a good idea to share DNRs and DNIs with your primary care physician, your local hospital and the family members you name to make healthcare decisions for you.
Healthcare Proxy and Healthcare Power of Attorney
With a healthcare power of attorney, you appoint another person to make medical decisions on your behalf when you are not physically or mentally able to do so. It is critical that you advise appointees of the authority granted to them and discuss your personal preferences for end-of-life decisions before that time arrives.
HIPAA Release Form
A HIPAA release form authorizes medical providers to share and discuss your personal medical condition and care with another individual you name to participate in your care decisions. You may share these forms with your local hospital and doctors, who may also require you to complete separate releases specifically for each of their practices.
If you already have these documents, reviewing them now is a good idea to ensure that the person you named to make medical care decisions on your behalf is still the individual you want to have that responsibility. Similarly, you may want to consider naming a backup agent in case your first choice is unable to act on your behalf.
About the Author: Kathleen Marteney, CRPC®, is a financial planner with Provenance Wealth Advisors (PWA), an Independent Registered Investment Advisor affiliated with Berkowitz Pollack Brant Advisors + CPAs and a registered representative with PWA Securities, LLC. She can be reached at the firm’s Miami office at (305) 379-8888 or info@provwealth.com.
Provenance Wealth Advisors (PWA), 200 E. Las Olas Blvd., 19th Floor, Ft. Lauderdale, FL 33301 (954) 712-8888.
Kathleen Marteney, CRPC®, is a registered representative of and offers securities through PWA Securities, LLC, Member FINRA/SIPC.
This material is being provided for information purposes only and is not a complete description, nor is it a recommendation. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct.
Any opinions are those of the advisors of PWA and not necessarily those of PWA Securities, LLC. While we are familiar with the tax provisions of the issues presented herein, as Financial Advisors of PWAS, we are not qualified to render advice on tax or legal matters. You should discuss any tax or legal matters with the appropriate professional. Prior to making any investment decision, please consult with your financial advisor about your individual situation.
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Updated December 11, 2024