state planning isn't just for married couples or parents. If you're single with no children, an estate plan can help ensure your wishes will be carried out, and important decisions remain in trusted hands. If you don't have one, courts or state law may determine how decisions are made and assets are distributed.
Preparing for the unexpected
Without a will, state intestacy laws generally determine who inherits assets. While beneficiary designations may control certain accounts, assets without beneficiary designations or joint ownership typically pass according to state law. For singles with no children, state law may call for assets to be distributed to relatives such as parents, siblings, aunts and uncles, or cousins. If no relatives can be located, assets may pass to the state. A will can help ensure your assets go where you intend.
For wealthier singles, there are also estate tax considerations. Singles can't take advantage of the doubled estate tax exemption available to married couples who plan properly. Singles with significant assets should consider estate planning techniques such as trusts to help minimize taxes.
Estate planning also addresses decisions during your lifetime. Powers of attorney can allow someone you trust to handle financial matters and make medical decisions on your behalf if you become incapacitated.
Next steps
Creating a will, powers of attorney and trusts, if needed, can help protect your wishes and provide peace of mind. Work with your attorney and us to develop an estate plan that will help make sure your assets are distributed according to your intentions.