The money and other assets that Colorado residents accumulate throughout their lives can have various feelings attached to them. Some people may simply see money as a way to meet their needs, and others may see their assets as a symbol of what they have accomplished. In most cases, however, individuals want to keep their assets in their family, or at least with those they deem appropriate, as much as possible. Fortunately, estate planning can help do that.
Many people may be able to guess where they can start with their estate planning process, and that is typically with a will. A will is one of the most basic estate planning tools but is also one that can have a significant role to play in the plan, especially if a person has minor children or wants to ensure a specific person is in charge of closing the estate. Additionally, a will can prevent the division of assets according to state law even if no other planning measures were in place.
Of course, going beyond a will can add even more protection to assets and better ensure the money stays in the family or otherwise goes to the appropriate parties. Some of those planning methods include the following:
- Setting up a trust to hold and manage assets for particular uses
- Ensuring beneficiary designations made to payable-on-death accounts
- Gifting money to desirable parties before a person’s passing
- Changing traditional IRAs to Roth IRAs
Fortunately, available estate planning options can go well beyond those listed here. Of course, in order to understand those options, it is necessary to have the right information. If Colorado residents are interested in finding the best planning tools for their particular circumstances, speaking with knowledgeable professionals may be a prudent step. Experienced attorneys could provide valuable insight into the specifics of creating a comprehensive estate plan.