How can working with a Certified Financial Planner lead to a solid estate plan?

On Behalf of | Nov 24, 2021 | Estate Planning

Successful adults will always need assistance with the creation of a retirement plan and an estate plan. A surprising number of people don’t understand the importance of financial review in the estate planning process.

They may work with a financial professional when they first start to plan their retirement but not when they develop a more extensive estate plan. During that process, they may work solely with a lawyer. Although you obviously need the help of an attorney to create a strong estate plan, you also need to consider the financial implications of your decisions.

Partnering with a Certified Financial Planner in addition to working with a lawyer can give you the greatest amount of security when it comes to your estate plan.

There are numerous financial concerns that affect estate planning

Your estate plan doesn’t just designate the recipients for your assets when you die. It also helps protect you when you are older and vulnerable.

The estate planning process often includes Medicaid planning or asset protection planning. Both of these processes require a careful review of your assets, your income and your expectations. A financial professional can help you better determine what issues might affect you as you age or your estate after you die.

Accruing too much property in your own name might make it so that you won’t receive Medicaid if you need it when you get older. Having a business or real estate that you want to pass on to the next generation could potentially trigger estate taxes. A Certified Financial Planner can help you review the resources you have set aside, structure your estate plan and the possible risks associated with your current plan. 

Why do you need a certified professional?

Anyone can try to give you financial advice or guidance, but they may not have the education to really assist you. Certified Financial Planners have to meet very strict requirements as far as their education goes. The licensing board also holds them to a strict standard of ethics.

When you work with a Certified Financial Planner to review your estate plan, you will know that the person helping you review your finances when you create or update your estate plan will put your interests first and will be competent. They will understand the implications of different decisions and help you plan for both the best and worst possible scenarios.

Partnering with both an attorney and a Certified Financial Planner can help you optimize your protections when drafting an estate plan.