You ought to possess a proposal to finance health care or long-term care. Exigencies such as terminal illness have to be considered and planned. Planning has to be done for asset protection for self and family members. Justifications for considering an estate plan are varied. There are people who require special obligations and care. A proper estate plan will ensure the devolution isn’t mishandled and help avert redundant anarchy. Constitute a trust and avert the probate procedure and time lag identified with it. You can single out what you want to leave for which definite family member. In case you intestate, the Succession Act shall apply. Your philanthropic goals have to be met early itself.
High Network Individuals are confronted with some challenges while drawing an estate plan such as asset allotment among likely heirs. They fear that this might create an intra-family conflict and there may be a dispute in the family leading to a Pandora’s Box!! Many are worried whether to gift the assets during their lifetime or after their death, whether to opt for a trust or a will or both.
Convoluted asset classes that family members might or might not outfitted to handle on their own is what many HNI’s possess and worry about. It is crucial to pinpoint a trustee who has the germane knack. Another factor of anguish for them is the hidden inheritance or estate tax which they aren’t sure if their inheritors would be able to adequately administer after their own death.
Despite an increasingly large number of people going for a diplomatic estate plan, the number is not yet consequential. There are varied causes for which many don’t want to carry out the estate plan such as nuclear families and even procrastination! In India, there isn’t any imperative obligation to enforce the plan as estate duties or inheritance tax isn’t germane.
People now invest in various asset classes such as gold, equities, mutual funds, real estate and such other asset classes. More wealth creation options have come due to too new start-ups and new entrepreneurs. New eventualities will arise but they can be mitigated by having an estate plan.
There is a promising future ahead of us as people are creating more capital and estates, for which they require planning.