If you are a baby boomer and your parents are still alive, you need to have some conversations with them, while they are still sharp.
Because people are living longer now, even with chronic diseases, it requires a different kind of planning than in the past, when all that was needed was having a power of attorney in place in case of incapacity and making sure the will is up to date to include the intended heirs, says a story in Forbes.
The big issue is that when most estate plans are created, especially with married couples, both spouses are of sound mind and they name each other as agents in case of incapacity.
But there are some contingencies that may not be addressed.
What if they divorce? Divorce rates have doubled among those age 65 and older.
What if neither is incapacitated in terms of daily living, but they need assistance with things like paying bills?
Having a trusted person named in legal documents ahead of time is the best way to make sure finances are protected, the story says.
The person might be an adult child or other family member. In any case the person should be trusted and living nearby. It could be an attorney or accountant.
And the best person to put the documents into place is an estate planning attorney, the story says.
If you have questions about estate planning, feel free to contact us for a consultation at (626) 696-3145.
