The Key Roles Needed for Your Estate Plan

Estate planning is a team effort. Whether you have a simple estate or something more complicated, you’ll want to make sure you have these key players on your side. 

Financial Agent

A financial agent has your financial power of attorney and can make financial decisions for you if you’re not able to do so yourself. You shouldn’t assume that your spouse will automatically be eligible to make these decisions for you. But if you name them as your financial agent, they will be able to make financial decisions on your behalf. Otherwise, you can choose someone else you trust, like a child, sibling, close friend or professional.

Healthcare Agent

A healthcare agent is your durable power of attorney for healthcare. They can make healthcare decisions for you if you’re physically or mentally incapable to, like, for example, if you have a stroke or you’re involved in a serious car accident. 

Many people choose a family member as their healthcare agent, but you can choose a friend, lawyer or other person. Be sure to share your wishes for care with your healthcare agent, either in conversations or with a living will.

Trusted Contact

When you name someone as your trusted contact for financial institutions, an institution can contact that person with any concerns about fraud or scams or if they are having trouble reaching you. Your trusted contact does not have access to your money or account information unless you’ve granted that access. 

You may want to add more than one trusted contact in case the financial institution can’t reach the first person, and they need to contact you right away.

Executor

Your executor administers, or “executes,” your estate after you pass away. They will pay off any taxes or debts that are owed and distribute your assets to your heirs based on the wishes you expressed in your will.

The executor can have a lot of tasks to handle in the weeks and months after your death and might be dealing with sensitive information. You’ll probably want to name a relative or close friend in this role.

Trustee

A trustee plays a role in a trust if you have one. They are legally bound to manage and distribute your trust assets and act in the best interests of your beneficiaries. 

Your trustee might need to manage your trust for years, so be sure they understand their obligations. You can name an individual such as a family member or use a corporate trustee.

Guardian

If you have children under the age of 18, you should name a guardian in case you and the children’s other parent pass away or are incapacitated and are unable to care for them. 

It’s hard to imagine someone else caring for your children, but think about their parenting skills, where they live, their values, their financial situation and their age when making your decision. You may also want to record any people who you do not want to raise your children.

Backups

You should name additional people who you may want to fill these key roles in an estate plan in case anyone you listed can’t serve in the role for any reason.

Get Help With Estate Planning

Estate planning can be complex and unfamiliar. Farm Bureau can help make sure you cover every aspect of your estate plan, so you can make the decisions that are best for you and your family. Reach out today to start the conversation.