Estate Planning

1.Provide For Your Family
Your family may receive less and would have to wait longer if you do not have an estate strategy in action. Unfortunately, this implies that your loved ones may be kept in the dark and may be unable to pay their bills and other living necessities. It's not unusual for families to fall apart due to financial distress in the weeks, months, and years following an untimely loss.
Solid estate planning will ensure that your family is taken care of and does not suffer financial devastation when you pass away.
2.Protection of beneficiaries.
Beneficiaries' interests are always protected by an estate plan, ensuring that their assets are correctly described and safeguarded. If you have a minor kid, you can name guardians and trustees to look after the youngster's financial and other requirements.
If the beneficiaries' children are adults but incapable of handling their finances or possessions, the individual can set up a trust to safeguard them from making poor decisions
3.Minimize Your Expenses
Do you know where the majority of cash goes when individuals don't have an estate plan in place? Fees for attorneys and legal expenses.
When you perish without an estate plan (and especially without a living trust), the courts are required to handle all of it: property distribution, guardianship of your children, and business dissolution. This is called "probate," and it can be highly costly, costing upwards of $10,000 for even small estates.
 Money might have gone toward your family's living costs and other expenditures, but instead, it's padding your attorney's coffers.
4.Get Property To Loved Ones Quickly
You have two choices.
Option 1: requires your family to endure anything from 3 to 9 months after your death to get anything.
Option 2: Your family receives the funds they require immediately and without interruption to pay bills, pay for your funeral, pay for your pending medical costs, and pay for whatever else they need.
Which option would you pick? You can prevent significant delays in your estate planning, which can impose financial pressure on your family.
5.Save Your Family From The Difficult Decisions
Imagine having to determine when to end your spouse's life if they are in a coma or similar state. Or deciding how to dispose of their remains?
Those are difficult choices that no one deserves to have to make. However, you may alleviate this stress by thinking about it ahead of time and preparing.
You can indicate how you want your end-of-life care handled in your estate plan and how you want your remains disposed of. And no one is more qualified to make those judgments than you.
6.Reduce Taxes
Every dollar you spend on taxes reduces the amount of money available to your household for bills and other costs.
You may employ various tax reduction tactics to retain as much money as possible in your family's hands.
The goal is to begin tax preparation as soon as possible rather than waiting until it's too late.
7.Make Retirement Easier
You might be shocked to learn that estate planning can help you now and your family when you pass away.
In the case of healthcare, estate planning may save you a lot of money in the long run by ensuring that you're qualified for government programs like Medicare, which can lead to significant savings on healthcare and leave more money for your family.
8.Plan For Incapacity
Estate planning encompasses more than simply death. People frequently become handicapped by an accident or a sudden medical incident – such as a stroke – rendering them unable to handle their finances.
Who will take care of settling your expenses and administering your healthcare if something occurs to you? A power of attorney for economic and medical issues may save your family time and money while ensuring that everything is managed as per your preferences.
9.Support Your Favorite Cause
You may have read that Mark Zuckerberg, the founder of Facebook, has opted to follow in the footsteps of Bill Gates and Warren Buffet by donating the great bulk of his income to charity rather than to his family.
You can make a significant contribution even if you don't have billions to give to charity by aiding your favorite educational, religious, or other philanthropic organization.
Even if it's only a hundred dollars, the money may impact the lives of others.
10.Make Sure Your Business Runs Smoothly
If you operate a small business, you should have an estate plan. It's one of the most important things you can do and is not optional. 
Without one, your business will likely fall apart quickly and entirely if something happens to you, and that can cause incredible financial hardship to your family.
You have the opportunity to provide for an orderly transition to someone else and continue the business by spelling out what happens if you become disabled or die. 
Don't do a disservice to your family by leaving these ends untied.
11.The Best Benefit Is Peace of Mind
It will offer you & your family peace of mind to realize that you have a well-prepared plan in effect, one that incorporates your guidelines and will safeguard your family. One of the kindest and most courteous gestures you could do for your near and dear ones is to create an estate.

Wills and Codicils

• The Last Will and Testament is a formal agreement that specifies how a testator's (the person who makes the will) property shall be allocated and handled after their death.
• A Codicil is an addition or modification to a previously executed will that clarifies, alters, or nullifies a portion of it.
• In a will, the testator can direct the allocation of their assets (which contains all individual and real property), the dispersion of residue (the remaining portion of the testator's assets not stated in the will), the appointment of executors and/or trustees to handle and allocate the testator's property, the assignment of guardians (if any of the testator's children is a minor), the establishment of trusts, funeral provisions, and more.

Validity of a Will or Codicil

• A legitimate Will or Codicil must have the following elements:

  1.  - It must be written.
  2. -The testator must be of legal age to write a will or codicil. Therefore, the testator should be at least 18 years old at the time of the will.
  3. - The decision must be freely taken. The will should have been written without force or deception.
  4. - The testator must be of sound mind while creating the will, demonstrating that he knows the scope of his assets and the consequences of drafting a will.
  5. - The Testator's Signature: In the sight of at least two witnesses, the testator's signature must be attached or acknowledged.
  6. - Witness signatures: The witnesses shall sign (personally confirm) the will in the sight of the testator.

Trusts

• A trust is a legal structure in which a grantor delivers property to a trustee to administer and preserve on behalf of the grantor's beneficiaries.
• A trust can be established by the grantors' final will, in which case it is known as a testamentary trust, or during the grantor's lifetime, in which case it is known as a living trust.
• The creation of trusts allows the trustee the authority to distribute the grantor's property without the need for probate or any other court order process, lowering estate taxes and saving time.

Important: In your will, appoint a guardian and a backup caretaker for your minor children. If you don't choose guardianship, the courts may opt to put your young kids with a family member you don't want or even in state care.

Power of Attorney

• A power of attorney is a delegation instrument that permits one party (the donor) to designate another party (the donee) to act on their behalf.
• The donee may get broad, particular, or both powers under a Power of Attorney:
  1. General Authority. These are broad abilities that apply to the subject matter at hand. Power is given to the donee, for example, to "do all that the donor may lawfully do." This does not define what the donee is allowed to do; instead, it grants the donee broad authority to do everything the donor can legally do.
  2. Specific Authority. These are powers granted concerning certain or specified acts, restricting the donee's authority. Examples of Special rights include charging rent, giving notifications, administering the donor's real estate, and signing contracts on the donor's behalf.
• A power of attorney is furthermore categorized as follows:
  1. Revocable: A revocable power of attorney, allows the donor to revoke it at any moment and for any cause.
  2. Irrevocable: This is a permanent power of attorney that cannot be revoked or repealed. When a power of attorney is irreversible under Nigerian law, it is either irrevocable for a certain amount of time, irrevocable for a significant fee, or conclusive with interest.

Letter of Intent

• A letter of intent is a straightforward legal document that you might leave to your executor or beneficiary. The goal is to specify what you wish to happen to a specific asset once you die or become incapacitated. Some letters of intent may include information about burial arrangements or other unique wishes.
• While it is possible that such a contract will not be legally enforceable, it can help a probate judge understand your intentions and may aid in the division of your assets if your will is found to be invalid.

Deed of Gift

• A Deed of Gift is an uncompensated transfer of property ownership from one owner (called the donor) to another (called the donee) without the donee receiving any consideration or pay. Real property, such as land or a structure, and the grantor's personal property are examples of gifts that can be transferred.
• Under the law, a minor has no legal capacity to grant a gift. However, minors can accept gifts through their legal guardian.
• A deed of gift, once delivered to the donee, is irrevocable; that is, it can not be changed or reversed except if the donor lacks the legal capacity to grant the gift; the gift was given under duress, misrepresentation, or mistake surrounding the circumstances or the gift was transferred with an intention to evade tax or breach the law.

Make a will
A will is a typical legal document in which you name a person you wish to acquire your property or a guardian to look after your children if you or your partner pass away.

Providing healthcare instructions
It is preferable to set down your healthcare desires, which might come in handy if you cannot make choices for yourself. Furthermore, you should include a healthcare power of attorney, ensuring that someone can make choices in your absence.

Make a financial power of attorney choice
This is a critical decision that allows you to delegate responsibility to a trustworthy individual to manage your assets and money if you are unable to do so.

Children's property should be safeguarded
Include the information of an adult who will be in charge of the property and funds left to your underage children.

Choose a beneficiary
When you choose a beneficiary for your savings accounts or retirement plans, the monies are automatically disbursed to the beneficiary following your death, avoiding the probate procedure.

Consider purchasing life insurance
Life insurance becomes an excellent choice when you buy a home, have small kids, or incur a considerable debt or estate tax.

Understanding estate taxes is essential
To deal with such situations, you must understand estate taxation or consult a lawyer.

Address your funeral expenses
Instead of opting for a prepaid funeral plan, you might open a bank payable on a death account and deposit cash to meet funeral and related costs.

Store your records effectively
Your lawyer may demand access to certain documents, so keep them safe.

Make final provisions
If you have any requests for organ donation or any other want, let your family and friends know.