Oftentimes, when people think about beneficiaries of assets and funds, they may automatically think about parents leaving an estate to be split between children. However, for Michigan couples and individuals without children, the process of crafting an estate plan may be slightly different. It may require some more thought regarding beneficiaries than for those who have children and who simply plan to leave all assets to those children.
One estate planning tool a childless couple or individual may want to invest in is long-term care insurance. This can help those who foresee the need for assisted living or even an adult day care situation who may not be covered by traditional insurance, as this kind of care can be extremely costly. Another means of covering this kind of expense may be the creation of a trust.
If there are no grown children to appoint as beneficiaries or as health care advocates, choosing a spouse or family friend may be the only option. However, choosing someone who is the same age can result in not having that person available or able to make the decisions that need to be made. It is generally recommended that any advocate chosen be younger.
The process of creating an estate plan can be highly personal and each person and couple has unique circumstances that may require specific help. Couples in Michigan that do not have children as beneficiaries may have further unique needs and wishes that need exploring. It is best to ensure that any estate plan addresses these unique situations and ensures that assets and funds are handled exactly as the childless couple or individual envisions.
Source: yourhoustonnews.com, “Aging and estate planning for those without children“, , Aug. 30, 2014