WATCH VIDEO BELOW! KAMALA HARRIS, POPE, ROYALS, ELITES, WORLD POLITICIANS ALL INVOLVED IN TRAFFICKING / PEDOPHILIA
Think about this, if you were to pass away at this very moment, would your family know what to do? Would they have the savings to pay for your funeral cost? Would they have the financial stress of making sure that everyday bills would be paid or have the money coming in each month to keep up with mortgage payments, all during a time of grief and loss?
A plan in place can significantly reduce the worries and stresses placed upon your family due to a sudden passing. While you can’t live forever, you can take steps to ensure that your family will be financially secure and stable when the time does come.
Those steps include having a will along with a life insurance policy.
Most people are familiar with these two popular estate planning tools but may not be as familiar with using them together. As a result, it’s common to have questions such as:
The answer to all three of these questions is yes. However, you’ll need a lot more than a one-word answer to start the estate planning process. That’s where our guide comes in. Read on to learn all you need to know about wills, life insurance, and how you can use both in your estate plan.
Estate planning is the process of determining what will happen to your assets and debts when you pass away. For example, there’s a common misconception that your estate only includes your home, but that’s not the case.
Instead, your estate is made up of all the things you own that have significant value. Generally, estates can be broken down into three categories: gross estate, residue estate, and estate debt.
Gross Estate: Your gross estate makes up the most significant part of your estate as it includes both your property and any accounts that determine your overall net worth.
Residue Estate: Your residue estate is the personal items you own worth a significant amount of money. This might include any cars, artwork, jewelry, antiques, or high-end furniture you own.
However, what counts as a valuable item is highly individual and depends on what you’ve accumulated in your life. For example, maybe you don’t have any artwork, but you do have a collection of vintage guitars worth thousands of dollars.
In this case, the guitars would be part of your estate. But, conversely, someone who had a single guitar worth around a hundred dollars probably wouldn’t include it in their estate planning.
Estate Debt: Your estate is also made up of any debts you owe. This can include:
The total value of your estate is the sum of your assets minus the sum of your debts. If you want to pass the value of your estate when you die, you’ll need legal documents in place.
There are a few different ways to do this, and the right solution for you will depend on your financial and personal situation. However, it’s always a good idea to have both a will and a life insurance policy in place.
