Your Estate Planning Team
By: Source: AARP.org Date Posted: 2005-03-20 12:09:12
Estate planning is a complex task. To do it right, you may need to seek the advice of more than one expert. Your estate planning team should definitely include an attorney and a tax accountant. Consider including your financial planner in the process. You may also want to call on a life insurance agent who is familiar with estate-planning concepts.
What You Should Know
Your estate planning team should include the following professionals:
Estate Planning Attorney
An attorney is the only person licensed to write legal documents. If you want to draft a will, create a trust, or draft a Power of Attorney, you will need an attorney on your team. Remember that no one attorney is an authority on every aspect of the law. Be sure to find an attorney who specializes in estate planning.
The following suggestions may help you find the right attorney:
- Ask people you know if they can refer you to a good attorney. Friends, business associates, or other professionals (like your financial planner or accountant) may be able to recommend someone.
- Contact your local bar association or other legal association for a list of attorneys who practice in the area of estate planning.
- As a last resort, check the yellow pages of your telephone book. This directory should list attorneys by their area of specialization.
Interview one or more attorneys to be sure you feel comfortable with and have confidence in the person you select. Check first to see if the attorney offers a free initial consultation. During this first meeting, you should find out the attorney's fee schedule and payment expectations. In addition, use this time to discuss what you want to accomplish with your estate plan. This should help you determine if the attorney can meet your needs.
Tax Accountant
Are you concerned about the amount of taxes that your heirs could owe to the government after you die? Then, make sure a tax expert is on your estate planning team. This person can help you figure out what your estate's tax bill will be. He or she can also explore with you the advantages of tax-deferred investments. Keep in mind that federal estate tax laws have changed dramatically in recent years.
Financial Planner
A financial planner will be able to recommend investments that are best suited to your estate plan. This planner should also be able to estimate your pension income and tell you how that income will be distributed after you die. For more information about choosing a financial planner see Financial Advisers.
Insurance Agent
A qualified insurance agent can help you in matters involving life insurance, disability coverage, and other concerns. Be sure to choose an agent who is familiar with estate-planning concepts.
Before choosing your agent, check with your state insurance department to be sure that the agent is licensed in your state. Agents who sell variable products must also be registered with the National Association of Securities Dealers. In addition, life insurance agents may have professional designations that show they have a certain level of expertise. Look for an agent who is a Chartered Life Underwriter (CLU) or Life Underwriting Training Council Fellow (LUTCF).
For More Information
The Family Caregiver Alliance
The Family Caregiver Alliance has published a fact sheet called "Finding an Attorney," which you can read online. The fact sheet gives tips on how to choose an attorney, and refers readers to organizations that can help them locate an attorney.
URL: http://www.caregiver.org
National Academy of Elder Law Attorneys (NAELA)
Members of NAELA are attorneys in the private and public sectors who deal with legal issues affecting older persons and people with disabilities. Visit the NAELA Web site to find an attorney who can help you plan your estate. NAELA's Consumer Registry form lets you indicate your state, ZIP code, and the experience you'd like your attorney to have. The registry then gives you information about all the NAELA members who meet these criteria.
URL: http://www.naela.org
AARP Legal Services Network (LSN)
AARP members in a growing number of communities can receive a 20-percent reduction in fees if they use an attorney who meets AARP LSN standards of experience and customer service. To find an LSN attorney in your area, visit the LSN area of AARP.org and click on "Finding a Lawyer."
URL: http://www.aarp.org/lsn
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