Estate Planning with Assets Under $100K | Estate Planning TV 036

The Estate Plan For People with $100k of Assets

If you have $100k or less of assets and you don’t think you need an estate plan, you are wrong.

It’s not a question of whether you have enough assets to need an estate plan because everyone needs an estate plan, no matter what their asset make up looks like.

I have clients come in all the time who are at this level because they understand the importance of having an estate plan no matter what your asset make up is.

And, for the record, before we get started, I firmly believe you should be proud of what you have no matter how big or small. This is your life, and you get to choose how to live it. It’s very easy to fall into the game of comparing yourself to others, and at the end of the day, all that matters is whether or not you are living the life that you want.

Okay, back to the fun stuff.

Here’s the plan I’d suggest most people with $100K (or less of assets put together), WITH the understanding that if you have kids, things change a little bit.

1. Power of Attorney

This is a document that protects you if you are ever incapacitated for any reason. Think of things from serious car accidents to dementia.

This document allows you to name the person who would take care of your life if for some reason you can’t do this.

IMPORTANT POINT – if you are married you still need this, especially if you have accounts that are separated from one another.

If you don’t have this you have to go to court to get someone named to take care of these things. BUT, there are some differences here:

1. You don’t get to pick the person;
2. The process is long;
3. The process is expensive;
4. The process is not fun.

Bottom line, everyone needs a power of attorney.

2. Medical Power of Attorney

This is very much like your regular power of attorney, except it is specifically set for medical decisions, including long term care decisions.

If you don’t have this, not only will your medical decisions be placed in the hands of the physicians taking care of you, but you could limit significantly the information the people you love can get about your medical conditions.

Again, if you are married you want this. Yes, your spouse has access here for the most part. But what happens if something happens to both of you?

3. Health Care Directive

The health care directive covers end of life decisions in very specific circumstances.

It not only gives your medical power of attorney the ability to make decisions if you are on tube feeding and hydration and slowly dying, it tells the world what you want to have done in this situation.

The purpose here is twofold: (1) it lets the world know what you want to do; and (2) it relieves your people of the burden of having to guess what you would have wanted to do in this situation.

4. Will

Your will does a few important things; (1) it names the person who will take care of your estate; (2) it names the long term guardians of your kids; and (3) it tells the world how to distribute your assets.

Most people think if they are married they don’t need a will. And that might be true in some cases. But again, what if something happens to BOTH of you? What then?

You have the ability to protect yourself and your family if tragedy strikes.

And this process is not hard. All it takes is your commitment to getting it done.

If you don’t have an estate plan yet, and you want to learn more about your options, book a time to talk to me. I’d love to learn about your family, give you some options, and see what works for you.

Click the link below and choose a time that works for you (in person or over the phone). Looking forward to it!


Christopher Small
CMS Law Firm LLC