What do you need to know?
Planning for Incapacity
At Schneider Rasche LLC, we know how important it is to have a comprehensive estate plan that includes incapacity planning as well as end of life planning.
What Is Incapacity?
An "incapacity" occurs when a person no longer has the mental acuity to be responsible for life decisions. One of the most common causes of incapacity in older folks is dementia. Alzheimer's disease is a form of dementia. But incapacity can occur at any stage of life due to another type of illness or an accident. Incapacity is not limited to any particular age group.
How can you plan for possible incapacity?
No one enjoys thinking about the prospect of their own incapacity. However, planning in advance for the management of your affairs if you become incapacitated can be critical to your well being if you become incapacitated.
You may want to think about the following questions in planning for your possible incapacity:
Who would take care of paying your bills?
Who would help to maintain your home?
Who would you trust to protect, preserve and properly manage your assets?
Who would take care of your pets?
Planning for incapacity often involves the creation of a durable power of attorney, which is a document in which you appoint someone to look after your financial and legal affairs in the event you become incapacitated. A durable power of attorney, while it may be effective in certain situations, is not always honored by third parties. Therefore, it is less than fully reliable and often is supplemented by the use of a revocable living trust. A revocable living trust is a more reliable way to designate someone to manage your assets in the event you become incapacitated.
At Schneider Rasche LLC we can assist you in memorializing your wishes in the event you become incapacitated. Call us today to see how you can start this process at (503) 241-1215 or contact us online.
Estate Planning Articles
These reports are compliments of Schneider Rasche LLC and were written by The American Academy of Estate Planning Attorneys.