Financial Literacy Information from an Estate Planning Attorney

Since it is Financial Literacy Month, we thought we would share some of the valuable information about how financial literacy and estate planning go hand in hand. As an estate planning attorney, we work with families and their financial planners frequently. It is important for us to have a good idea of a person’s finances when helping them plan for the inevitable.

What is Financial Literacy?

Someone who is financially literate has a sound understanding of budgeting, saving and planning for the future. A financially literate person likely works with a financial advisor and an estate planning attorney. Depending on their age and financial situation, they may have set up a trust and have other legal documents in place protecting their financial future and that of those they leave behind.

How Do You Get to a Place Where You are Financially Secure?

Unlike generations ago where virtually every job came with a pension and people could live off their pension and Social Security, you have to plan well to live well later in life. Most people know they need to budget as well as save and invest. However, major life decisions can also impact your financial future without you realizing it.

Estate Planning Should Be Part of Your Financial Planning

If you and your financial planner have not talked about a will and/or trust, then initiate the conversation. They can best guide you as to what you should consider. Once you understand the pros and cons of each type, work with your estate planning attorney to set up a will or one or more trusts based on their recommendations. Some of the trusts to consider include:

• Revocable Living Trust – This is the most common type of trust. It can be changed or canceled at any time. During your lifetime, all assets within the trust remain your property.
• Irrevocable Living Trust – These trusts transfer the assets to the trust. This type of trust does protect you from estate taxes and because the items in the trust do not belong to you, they are exempt from probate.
• Medicaid Trust – Although this trust sounds like it sets aside money for nursing home type services, it actually helps shelter assets and qualify you for Medicaid services.

Looking for a Pinellas County Estate Planning Attorney? Call Wagstaff & Pitelis

Whether you are looking for a simple will and trust or have a more complicated estate, the dedicated professionals at Wagstaff & Pitelis can help. We know the questions to ask to help ensure you have the right documents in your estate plan. And, if you have a financial planner you work with, we are happy to get input from them as well. Call us today to learn more about our estate planning (and other) services. Call (727) 584-8182 or fill out our contact form to schedule your initial consultation.