EZLaw Estate Planning Guide

8/3/2019 EZLaw Estate Planning Guide

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Your EstatePlanning GuideSafeguard Your Future with Easy-to-Create Legal Documents


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Copyright 2011 EZLaw Inc. All rights reserved.

Disclaimer: EZLaw is not a law rm and neither EZLaw nor its agents or employees provide legal services or legal advice at any time.

Therefore, no attorney-client relationship exists between you and EZLaw. All Legal Services included as part of the services offered under an

EZLaw Legal Services Plan are provided by independent attorneys and law rms who are not afliated with EZLaw. Price includes legal fees

to be paid as a pass-through, without markup, for the services to be provided by Participating Attorney.


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Table of Contents

Introduction 4

Estate Planning Is as Easy as 1-2-3 With EZLaw 5

Last Will and Testament 7

Power of Attorney 9

Advanced Medical DirectivesIncluding Living Will and Healthcare Power of Attorney 11

Frequently Asked Questions about Estate Planning 13

Getting Started With EZLaw 15

Which Legal Documents Are Right For You? 16


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Introduction

Life doesnt always go according to plan. While you cant prepare for everything, you can take steps to help

protect you and your loved ones when life takes unexpected twists and turns.An accident can happen.

A crisis can arise. Health can quickly decline.

When the unexpected occurs, is your estate in order? And are you prepared for lifes little emergencies, too? Evenminor things such as an unplanned business trip or a brief illness can sometimes lead to bigger problems.

If you and your spouse pass away, have you picked a legal guardian to raise your children? Do you need someone

to help you manage your day-to-day affairs? If youre hospitalized, would someone have access to your bank

accounts and be able to pay your bills? Have you clearly explained to your loved ones how youd like to be cared

for if youre incapacitated?

The right estate-planning documents can help you prepare and plan for these issuesand more.

At minimum, every adult should have three essential estate-planning documents:

A last will and testament: Used to explain how your money and possessions

should be distributed after you die. If you have young children, a will can also be

used to name a guardian to raise and care for your children after your death.

A power of attorney: Lets you designate someone to make certain legal, nancial

and business-related decisions on your behalf if you become incapacitated.

A living will: Lets you tell family and medical professionals what life

sustaining proceduresif anyyou would like them to use. You can explain

whether youd like healthcare workers to take measures to prolong your life.

Because you can never predict what will happen tomorrowbut at least you can be prepared.

And EZLaw can help.

Without hesitation, EZLawis my frst stop next time I

need a legal document.Christian S., Pennsylvania


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Estate Planning Is As Easy As 1-2-3 With EZLaw

What Sets EZLaw Apart?

EZLaw offers a simple and secure process for creating your estate-planning document onlineand as an added

value; each legal document you purchase includes a phone consultation with a lawyer from our Attorney Network.

With EZLaw, you get:

Attorney Consultation EZLaw provides a personal phone consultation with a

licensed attorney from our trusted network as part of your document-completion process.

Transparent costs and bundled services for overall affordability.

Customer service support available during every phase of the document completion

process.

A comprehensive help center that provides the information, tools and guidance to

help you complete your legal documents.

The legal experts at LexisNexis EZLaw was designed by and alongside legal

experts who understand your needs.

How Does It Work?With EZLaw, creating legal documents is as easy as 1-2-3

1.Complete our online Document Creation Questionnaire. Whether you need a

last will and testament, power of attorney or living will, the process begins with the online

questionnaire. Once youve answered all of the questions, the information you supply

is used to create a legal document thats customized to your specic needs.

2. Talk to a lawyer during your Attorney Consultation. Every legal document from EZLaw

comes with an attorney phone consultation. When you place your order, youll pick

a lawyer from our Attorney Network and schedule a phone call with that lawyer. Duringyour consultation, the lawyer will review your legal document with you, answer your

questions, make legal recommendations, if necessary, and put the nishing touches

on your legal document.

3. Sign your legal document. After your Attorney Consultation, your lawyer will send you

a nalize version of your legal document. Simply download and sign it according to

your lawyers instructionsand then youre done!


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Get Expert Advice from a Lawyer in Our Attorney Network

All of the participating attorneys in the EZLaw network are licensed, practicing lawyers in good standing in their

communities. Each is prescreened by EZLaw to ensure you get professional, experienced and condential legal

counsel.

To be included in our network, attorneys must meet our rigorous 12-point checklist of criteria. Whether you need

legal guidance for a last will and testament, a living will or power of attorney, we have a trusted professional whocan answer your questions condentially and comprehensively.

When you speak with one of our attorneys, you can feel condent knowing that an easy, secure experience is part

of our satisfaction guarantee.

Your Satisfaction Is Guaranteed!

Your satisfaction is our top priority. EZLaw guarantees your satisfaction with your nal legal document, as well

as our Document Creation Questionnaire and Attorney Consultation process. If you are not completely satised,

please call our Customer Support Center at 877-412-3973 for a refund.


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Last Will & Testament

What Is a Last Will & Testament?

A last will and testament is a legal document used to tell the world who you want to get your property and assets

after you die. If you have young children, your will can also be used to name a guardian to raise and care for your

children after your death. And a will can be used to select a person to manage your estate after your death.

A will allows you to control your legacy. If you die without a will, state intestacy laws will govern how your estate is

distributed and who receives your assets.

Who Needs a Last Will & Testament?

Each state has formal requirements for preparing and signing a

will. But, in general, to create a will you must:

Be of legal age, usually 18

Be of sound mind, or mentally competent, which means you

understand that youre making a will, you know what propertyyou have, and you know your heirs and relatives who normally

would be included in your will

Every adult who meets the legal requirements in their state

should consider creating a last will and testament. This is

particularly true if you:

Want to control how your estate is distributed after you die

Have assets, such as a home, checking and savings

accounts, IRA or other things of value

Have children under the age of 18 Have loved ones youd like to provide for after youre gone

Want to leave money to a charitable institution after you die

Have no family and dont want the state to take possession of

your estate after your death

Checklist for Getting Started on

Your Last Will & Testament

Before creating your last will and

testament, youll want to have the followingitems handy:

The full names of each person who will

be mentioned in your will, including family

members and other beneciaries, as well as

the people youre naming as executor,

guardian and trustee. Youll also need to

know each persons birthday as well as their

county of residence.

A list of all of your assets, as well as the

approximate value of each item.

A list of each person who will

receive specic gifts.


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When to Revise or Rewrite Your Will

Once your will is complete, make a habit of rereading it at least once a year, if not more often. Youll want to

update your will if:

You get married or divorced

You have a new child, through birth or adoption

A family member or other beneciary of your estate dies

The individual named as executor, trustee or guardian dies or is unable to act as such You decide to name someone else as your executor, trustee or guardian

The size of your estate changes signicantly

You move to another state

There are changes in federal or state laws that could affect your estate

Key Terms to Know

Assets: Anything of economic value. This would include real estate, money in checking, savings and brokerage

accounts, life insurance, furniture, ownership in a business, arts and antiques, as well as money owed to you.

Benefciary: A person or entity that receives all or some of the assets from a trust or estate after another personsdeath.

Bequest: A gift to another person made as part of a last will and testament.

Disinherit: To intentionally omit someone from a last will and testament.

Estate: Anything of value, including money, real estate and personal property, at the time of your death.

Executor: The person responsible for administering an estate after another persons death. Also known as a

personal representative or executrix.

Holographic Will: A last will and testament that is handwritten and signed. Holographic wills are only legally

permitted in about 20 states and can create problems even in states where they are legally valid.

Intestate: The act of dying without a valid last will and testament.

Last Will & Testament: A legal document used to explain how youd like your estateincluding real estate,

possessions and moneyto be distributed after your death.

Legal Guardian:The person legally responsible for raising minor children if both parents die or are otherwise

unable to raise them.

Witness: The person who observes a legal document, such as a last will and testament, is signed. A witness isusually also required to sign the document, because your witnesss signature indicates he or she saw the

document being signed.


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Power of Attorney

What Is a Power of Attorney Document?

A power of attorney document lets you to designate someone (known as your attorney-in-fact) to make certain

legal, nancial and business-related decisions on your behalf should you become incapacitated. Depending on

the specics of your power of attorney document, your attorney-in-facts powers cease either when you become

incapacitated or when you die.

There are a few types of powers of attorney, including:

General power of attorney: This gives the attorney-in-fact broad powers to handle

your legal and nancial affairs.

Limited power of attorney: This allows your attorney-in-fact to handle only specic

situations. For example, a limited power of attorney could be used to give your spouse

the right to represent you at a home closing.

Durable power of attorney: This allows your attorney-in-facts powers to continue even

after youve become incapacitated.

Why Do I Need a Power of Attorney?

General and limited power of attorney documents allow your attorney-in-fact to handle your affairs when you

are unable to handle them. Good examples are when youre traveling or if youre physically or mentally unable to

handle your affairs.

You might create a power of attorney document to authorize your agent to do the following on your behalf:

Handle banking transactions

Enter your safety deposit boxes

Buy, sell and manage property, including real estate

Purchase life insurance

Settle legal and insurance claims

Enter into contracts

Exercise stock rights

File tax returns

Handle matters related to government benets

You need someone elses help to manage your affairs.

Youre planning a trip and may be unreachable for periods of time.

Youre getting older or have been diagnosed with an illness that might leave you incapacitated.

Youre unavailable to attend a real-estate closing and need someone else to sign

documents on your behalf.


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Key Terms to Know

Attorney-In-Fact: The person given power of attorney over

another persons legal, nancial and healthcare-related decisions.

(The attorney-in-fact may also be known as an agent.)

Grantor: The person creating a power of attorney document and

granting powers to an attorney in fact. (The grantor may also be

known as the principal.)

Power Of Attorney: A legal document that enables you to

designate someone (known as your attorney-in-fact or agent) to

make certain legal, nancial and healthcare-related decisions on

your behalf.

Witness: The person who observes a legal document, such as a

power of attorney, is signed. A witness is usually also required to

sign the document, because the witnesss signature indicates he or

she saw the document being signed.

Checklist for Getting Started on

Your Power of Attorney Document

Before creating your last power of

attorney document, youll want to have

the following items handy:

Your personal information, including

full name and county of residence

Your agent or attorney-in-facts

personal information, including his or her

full name and relationship to you

The personal information for an

alternative agent, if your rst choice is

unavailable


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Advanced Medical DirectivesIncluding Living Will and Healthcare Power of Attorney

What Is a Living Will & Why Do I Need One?

A living will is used to tell family and medical professionals what life-sustaining proceduresif anyyou would like

them to use on you. It can also describe whether youd like healthcare workers to take measures to prolong your

life.

After you create a living will, you should discuss it with your family and healthcare providers. Also tell your health-

care provider about it so theyre educated about the various procedures and decisions youre making. You should

also nd out if your doctor is willing to carry out the provisions of your living will or if they have any religious, moral

or ethical objections to them.

You need a living will if you have opinions about the end-of-life medical care youd like to receive. With a living will,

you can share your wishes nowwhile youre healthyin case youre unable to communicate in the future.

What is a Healthcare Power of Attorney?

A healthcare power of attorney gives someone else (known as your agent, healthcare surrogate, healthcare proxy

or attorney-in-fact) the right to make healthcare decisions on your behalf. A healthcare power of attorney only

becomes effective when you are unable to consent to medical treatment on your own.

Checklist for Getting Started on YourLving Will & Healthcare Power of

Before creating your living will and

healthcare power of attorney documents,

youll want to have the following items handy

Your personal information, including full

name and county of residence

Your agent or attorney-in-facts personal

information, including his or her full name and

relationship to you

The personal information for analternative agent, if your rst choice is

unavailable

Attorney Documents

The healthcare power of attorney and a living will may sound

similar, but the living will deals only with life-sustaining

treatment in terminal situations. A healthcare power of attorney

is a more exible document that your attorney-in-fact can use

in other medical situations.

A healthcare power of attorney lets you control, at least to

some degree, the medical care youll receive when youre

unable to directly communicate. If your health declines to thestate that you can no longer communicate with others, the

person named in your medical power of attorney will

communicate for you. Your agent can discuss your care and

treatment with your doctors and other healthcare providers.

Who Needs a Living Will & Healthcare

Power of Attorney?

Anyone who has strong opinions about the medical care

they receive and thinks their wishes might not be honored Senior citizens

Anyone whos concerned about their end-of-life medical

care

People who have been diagnosed with terminal illnesses,

as well as people who are worried about losing their

cognitive abilities


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Youll also want to decide:

What powers you want to grant to your healthcare agent

What specic guidance you want to provide to your healthcare agent

What actions youd like taken if youre in a coma or have irreversible brain damage

Any pain-relieving measures youd like taken on your behalf

Key Terms to KnowAttorney-In-Fact: The person given power of attorney over another persons healthcare-related decisions. (The

attorney-in-fact may also be known as an agent, healthcare surrogate or healthcare proxy.)

Grantor: The person creating a power of attorney document and granting powers to an attorney in fact. (The

grantor may also be known as the principal.)

Power Of Attorney: A legal document that enables you to designate someone (known as your attorney-in-fact)

to make certain healthcare-related decisions on your behalf.

Witness: The person who observes a legal document, such as a living will, is signed. A witness is usually also

required to sign the document. Your witnesss signature indicates he or she saw the document being signed.


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Frequently Asked Questions About Estate Planning

What are the Differences Between These Estate Planning Documents?

A last will and testament, a living will and a power of attorney each serve different functions.

A last will is used to explain how you would like to divide your estateincluding real estate,

possessions and moneyafter you die.

A power of attorneyenables you to designate someone to make certain legal, fnancial

and healthcare-related decisions on your behalf should you become incapacitated.

A living will is used to tell family and medical professionals what life-sustaining

proceduresif anyyou would like them to use on you. It can also describe whether

youd like healthcare workers to take measures to prolong your life.

A healthcare power of attorneygives someone else the right to make healthcare decisions

on your behalf. A healthcare power of attorney only becomes effective when you are

unable to consent to medical treatment on your own.

Because each is used for different purposes, you should consider having a living will, a healthcare power of

attorney, a general power of attorney, and a last will and testament.

Can the person to whom I give power of attorney change my will?

No, the person to whom you grant power of attorney (known as your attorney-in-fact) cannot change your

last will. When naming someone as your attorney-in-fact, you should select an honest, trustworthy person

with good judgment. If you fear your attorney-in-fact might act against your wishes, you should revoke the power

of attorney immediately.

What does an executor do?

An executor, also known as a personal representative, is responsible for managing the estate of a

deceased person. The executors job includes:

Filing the will with the probate court, if necessary

Obtaining a copy of the death certicate

Locating all of the deceaseds assets

Notifying nancial institutions that the person has passed away

Setting up a separate bank account for the estate

Paying outstanding bills and debts, as well as ongoing expenses such as mortgages

Determining who will inherit the estate and distributing those assets to each beneciary Filing a nal, income-tax return and estate-tax return (if necessary), as well as a nal accounting

with the probate court

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Who should I select as the executor of my estate?

Your executor should be someone who:

Has time to manage your estate

Is responsible with money

Meets deadlines

Is capable of understanding the legal process associated with administering an estate

Is mature and trustworthy Is comfortable with the job

Has the communications and diplomatic skills to work with heirs who may have questions about

the estate or challenge the way in which it is being managed

When selecting an executor, you probably want to choose someone who lives in the same state. Thats because

some states have laws that prohibit non-residents from serving as executors. You may also want to choose a

backup executor in case your rst choice is unable or unwilling to do the job.

You should not select a minor, a non-U.S. citizen or a convicted felon to serve as executor.

What happens if I die without a will?

State law has a default will for any person who dies without a will. Commonly, the spouse and children

of the decedent will take the property. If there is no spouse and no children, the decedents parents will

take the property, then siblings, grandparents, and children of the grandparents. If no close relation can be found,

the property will eventually belong to the state.

As part of the probate process, the creditors of the decedent get rst shot at the estate property, after certain

allowances for a spouse and children.

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Getting Started With EZLaw

Are you ready to get started? Congratulations! Youre taking an important step in the estate-planning process.

To begin, decide which estate-planning documents are right for you. These include:

Last Will & Testament: Enables you to explain how youd like your estate distributedafter your death.

Power of attorney: Allows you to authorize someone else to make legal and nancial

decisions on your behalf.

Living will: Lets you explain what life-sustaining medical care youd like to receive in

terminal situations.

(See the chart on page 16 for a more detailed list of product features.)

Once you know which documents you need, creating them with EZLaw is as easy as 1-2-3!

Go to EZLaw.com to get started today!


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Which Legal Documents Are Right For You?

EZLaw Estate Planning Guide

Documents

Transcript of EZLaw Estate Planning Guide