Planning for how your assets will be treated after you pass away is an understandably tricky proposition. That is, it is not always easy to determine how they should be divided among those left behind, which may include a spouse, children, parents and other family members. For married Maryland residents, another wrinkle may be added when it comes to making plans for estate administration.
Power of attorney is one important aspect of estate planning of which Maryland residents may wish to be aware. However, there are two different types of power of attorney: financial and health. Understanding the differences and how they are used may well be essential to proper estate planning.
One important aspect of estate planning is deciding whether or not to establish a trust. A trust can help not only with managing the assets of the estate, but can also reduce the impact of estate taxes and save beneficiaries from having to endure the probate process. Yet a trust can be a legally complicated instrument and before establishing one, it is important for residents in Maryland and elsewhere to understand the potential consequences of different types of trusts.
In Maryland and elsewhere, as a person approaches their later years, he or she may no longer be able to make fully informed decisions on even their most basic needs. However, the law fortunately allows the creation of a guardianship, which is a court-created legal vehicle that allows someone else, such as a child or spouse, to take care of the ailing individual. In some cases, though, a person may run into friction with others as they seek the creation of a guardianship.