We hear it often: “Oh, I’ve been meaning to put together an estate plan”. And while this statement is mostly said by married couples, single individuals are just as guilty. In fact, a single individual needs to also properly prepare an estate plan given that the consequences of not having one can create emotional, financial, and administrative problems down the line.
Depending on various factors, an estate plan will either include a revocable living trust or a will concerning the division of your assets upon your death. Having either document in place will ensure that your personal property does not simply go to a distant relative, but rather to specific individuals such as close friends or a charity of your choice. For married individuals, the personal property will go to the surviving spouse. For a single person, however, if no trust or will is in place, under California law assets are passed on to their closest relatives such as children (if you have any), then to your parents, then to your siblings (if you have any), etc. If absolutely no relatives can be found, then your property will be distributed to the state.
Whether the estate plan we create is based on a revocable living trust or just a will, the plan will always include a durable power of attorney for financial matters, as well as an advance health care directive. While the trust or the will plan for the division of your estate upon your death, the powers of attorney and health care directive allow designated individuals to act on your behalf in the case of your incapacity. This can become especially helpful when you are the only person named on your bank account, which is usually the case for single individuals. For example, if you are in a car accident or lack capacity to handle your financial affairs, your designated agent can continue to pay your bills and manage your day to day activities.
A health care directive authorizes certain individuals to act on your behalf with regards to medical decisions. Having this document will ensure that your wishes regarding medical care and end of life decisions are followed. We also prepare a HIPAA release with the health care directive, which is sometimes referred to as an Authorization for Disclosure of Protected Health Information. Federal law mandates the privacy and protection of an individual’s medical records, and just because someone is a relative does not grant them the authority they need to disclose your medical records to a physician. By having this authorization, whoever you name will have the legal authority to obtain and release your medical records to the treating physician.
While this all may seem daunting, we like to think that we make the process as stress free as possible. Don’t put off the process any longer; call today and schedule your complimentary consultation today to see how we can help you! 818.956.9200
Glendale Location
616 E. Glenoaks Boulevard, Suite 203
Glendale, CA 91207
Sherman Oaks Location
15303 Ventura Boulevard, Suite 900
Sherman Oaks, CA 91403