There is still time to get critical financial documents in place
With the demands of work, family and daily responsibilities, many of us often prolong, or cast aside, organizing and documenting important legal and financial decisions. Then, when a game changing life event occurs, such as the current Coronavirus pandemic, we wish we had acted sooner.
While we are in unprecedented times, rest assured that there is still time to get critical financial documents in place; but you need to act quickly.
Here are some tips on what you can do now to get your financial and estate plan in order:
Review the current status of your financial and estate plan. This is especially critical for older individuals and those who have impaired health.
Ensure that you have sufficient cash available to provide for your needs over the next six months.
Review your asset allocation to manage your investment risk going forward and to make sure that it aligns with your current financial circumstances.
Review your will and trust documents to ensure that they reflect your current wishes and take advantage of available income, gift and estate tax strategies.
Consider speaking with your attorney or accountant to help you evaluate your options.
Review your general power of attorney, health care power of attorney and living will to make sure they are current and accurate.
Review your titling and beneficiary designations to ensure that the individuals you want to benefit will be the ones who receive the proceeds.
Review the following asset categories: bank accounts, IRA’s, life insurance policies, and other assets, such as real estate.
- Give thought to naming contingent beneficiaries in case the primary beneficiaries pre-decease you.
These simple steps will ensure that your heirs will be provided for in exactly the manner you wish; that your financial structure is assuming investment risk at a level comfortable for you; and that your cash flow is structured to meet your immediate and future cash needs.
The current global health crisis is on all of our minds, but taking these critical steps now can provide some reassurance during a challenging time.
We are easily in the fourth quarter and the clock is ticking down. We urge you to take the time now to review your financial and estate plan and provide a level of comfort for you and your family.