North Carolina Estate Planning Checklist [2024 Updated]

If you or someone you know is considering creating an estate plan or updating a current plan, you should consider speaking with an estate planning attorney. They can review the North Carolina estate planning checklist, making sure your plan covers all your needs and is suitable for your specific situation. While estate planning can seem overwhelming, the process can be made much easier with the aid of an experienced North Carolina estate planning attorney.

Inventory Your Assets

The first step in creating a good plan is taking an inventory of your assets. This should include all personal property, real estate, bank, brokerage, and retirement accounts, along with any other items in your possession. Clearly identifying your assets can help your beneficiaries and other affected parties find and distribute them. These can include:

• Personal Assets: Artwork, collectibles, jewelry, family heirlooms, etc.
• Financial Accounts: Checking, savings, online accounts, retirement accounts, insurance policies, annuities, cryptocurrencies, etc.
• Stocks and Other Financial Instruments: Stocks, bonds, certificates, and other holdings or investments.
• Ownership Documentation: Titles, deeds, patents, mortgage documents, etc.

Inventory Your Debts

You should create a list of all current liabilities you have. Upon your death, a notice will be given to all creditors, so having this list can make that process easier.

Designate Beneficiaries

Designating beneficiaries is a critical part of the estate plan. This can minimize the potential complications from probate. It allows someone (whoever you designate) to directly receive the benefits or ownership of the assets, thus avoiding the probate process.

Important Items to Consider

When creating a plan, there are several critical elements to consider.

• Your health. An estate plan allows you to appoint someone to make health decisions on your behalf if you are ever unable to. You can expect your health to deteriorate at some point, so having a plan in place can allow you to be well-prepared. Additionally, if a tragic family accident were to happen, an estate plan can protect your assets.
• Your family. You should consider your family, especially your children, when building your estate plan. Making sure they are well-positioned to inherit assets is an important goal for many people when they create their plans.
• Avoiding probate. One of the main goals of estate planning is avoiding the probate process. Probate is where the state will divide up assets after death. If you create an estate plan that properly outlines how you want your assets to be distributed after your death, you could avoid the probate process. This can keep family heirlooms and other sentimental assets in the family over time.

FAQs

Q: What Are the Components of Estate Planning?

A: Some components of estate planning are wills, trusts, powers of attorney, and beneficiary designations. Each of these components could be critical to your estate plan.  A will specifies how assets will be distributed after your death. A trust is a way to protect assets. A power of attorney is a legal document that grants someone else the authority to act on your behalf. Beneficiary designations identify who will receive the proceeds from your estate after your death.

Q: What Assets Are Exempt From Probate in North Carolina?

A: Some assets are exempt from probate in North Carolina. Jointly owned assets could avoid probate, especially if they also come with rights of survivorship. Marital homes are good examples of these kinds of assets; they are typically passed to the surviving owner automatically after death. Additionally, any assets that have named beneficiaries, such as insurance policies, annuities, or retirement accounts, are typically not subject to probate in North Carolina.

Q: What Is a Living Will?

A: A living will is a legal document that outlines an individual’s wishes regarding their medical treatment if they are unable to make decisions for themselves. Living wills could also be known as medical directives. They make sure an individual receives the appropriate level of care they need when they are injured or ill and can’t communicate their wishes. If you need help creating a living will, you should speak with an experienced estate planning attorney.

Q: What Is the Biggest Mistake in Estate Planning in North Carolina?

A: One of the biggest mistakes made in estate planning in North Carolina is failing to create a comprehensive plan. Neglecting to create an estate plan could cause your assets to be distributed in ways that you didn’t intend. Another common mistake is not putting your wishes in writing. It’s not common for verbal wills to be enforceable, so documenting everything in writing is crucial.

Q: Do I Need an Estate Planning Attorney in North Carolina?

A: While you are not legally required to hire an estate planning attorney in North Carolina, it is highly recommended that you do. There are many benefits to working with an experienced attorney. Estate planning involves several different and complicated legal concepts. Ultimately, the most important thing is to protect your estate and establish your wishes for its distribution after your death. You also want your children and surviving family members to be taken care of. An attorney can help you do this.

Orsbon & Fenninger, LLP, Is Ready to Support You

Estate planning can be a long and often complicated process. There are several aspects to it, and each piece is critical to the plan. Having a fully comprehensive plan in place is important for protecting your estate, laying out your wishes for it, and taking care of your surviving family members. Although estate planning can seem intimidating, it is absolutely worth it to have a strong plan in place. There are several benefits to estate planning which a lawyer can help you achieve.

At Orsbon & Fenninger, LLP, our legal team is ready and able to support you throughout the estate planning process. We have the tools and resources available to develop a comprehensive plan tailored to your specific needs. With our combined experience of over 68 years, our team is well-equipped to serve you and your family’s needs. Contact us today at our office, conveniently located in Charlotte, to speak with a member of our team.