A Will is the most basic Estate Plan document. Everyone needs their own Will. The Will does the following:

• appoints a PERSONAL REPRESENTATIVE (someone who takes care of your final affairs). Traditionally, the term Executor was used in place of Personal Representative;
• details who is to get your property; and
• if you have a “pour over” Will any property you neglected to put into your trust will be transferred into the trust.

Without a Will the state will determine the above. Having only a simple Will does not usually avoid the probate process.

This is a legal arrangement where assets are transferred to a trustee to be used for the benefit of one or more beneficiaries. One who sets up a trust is the SETTLOR or GRANTOR. During the Settlor’s life the Settlor typically manages the trust assets no ownership rights are given up during their lifetime. Following death or disability a named Trustee takes over. The advantages of a Trust are:

• avoid probate;
• does not become public record like a will;
• if the value of your estate is more than the amount excluded from federal estate tax a trust may help reduce or eliminate estate taxes;
• if you have minor children and something happens to you before the children become adults you can direct at what ages children are to receive assets; (under Michigan law children are considered adults at the age of 18 and will receive any inherited property at that age , unless you direct otherwise);
• proper management of assets; and
• a Revocable Living Trust can be revoked or amended by you at any time.

The specific type of Trust you need will depend upon your individual situation.

The general power of attorney operates during your lifetime and allows you to name another person to act on your behalf in handling financial affairs. For example it would allow someone to sign checks and sell property on your behalf. The document can either have the individual act if you are disabled or if you are not disabled.

A Medical Power of Attorney allows you to appoint another person to make health care decisions for you in the event that they are unable. Medical Powers of Attorney are usually very important for anyone that does not wish to be kept alive on life support where there is no hope of recovery. Everyone has very specific wishes regarding end of life decisions.