The process of estate planning enables Nevada residents to determine how their assets will be managed after their demise. It is not uncommon for people to focus mainly on financial matters in estate planning; however, there are other crucial aspects to attend to. Although it is not a thought often entertained, becoming mentally or physically incapacitated is a realistic possibility, and the selection of powers of attorney is essential.
An important aspect of estate planning is the appointment of a responsible and reliable person to handle one’s financial matters when one is no longer able to take care of it. The same or another person must be appointed to make medical decisions on behalf of the incapacitated person. It may be wise to choose these representatives carefully and remember to discuss it with the individuals before appointing them as powers of attorney for medical and durable purposes.
One may want to avoid choosing, for instance, the oldest child — because one feels duty bound — when the younger one may be more suitable and responsible for the task. Proximity should also be considered, especially in the case of the person chosen to be the medical power of attorney. Failure to amend the powers of attorney when necessary may result in ineffective management of one’s interests. The chosen ones may live close by when the choice was made but could move away later.
When residents of Nevada do their estate planning, they may want to carefully consider their options when choosing individuals to appoint as powers of attorney. Some people may not be prepared to accept the responsibility. The state laws relating to estates and wills are complex, and it may be beneficial to gain the necessary knowledge before finalizing these documents.
Source: cnbc.com, “The 5 biggest estate-planning blunders“, Shelly Schwartz, April 14, 2014