The term estate planning is very broad and encompasses everything from preparing a basic power of attorney to complex planning. The process of estate planning simply means creating written legal documents to define your wishes for a period when you are unable to communicate due to incapacity or death. Some people comment, “I don’t need an estate plan because I don’t have anything”. But these legal documents are necessary even if you don’t have much in the way of assets.
A basic estate plan can include one or more of the following legal documents:
- Last Will and Testament
- Power of Attorney
- Power of Attorney for Health Care
- Living Will
- Revocable Living Trust
Each of these documents is described in more detail in the next five questions.