What Are the Three Main Priorities You Want to Ensure With Your Estate Plan?
Posted on April 4, 2025 in estate planning
When people start to think about what type of legacy they want to leave, a common question arises: “What are the three main priorities you want to ensure with your estate plan?” While every plan should be tailored to your individual needs, many people prioritize efforts to protect their loved ones, preserve their wealth, and make sure their wishes are honored as instructed.
Well-crafted estate plans do more than just determine who inherits what in your network. It also shapes how your estate is managed, how much is lost to taxes and expenses, and how much peace of mind you can offer your loved ones after you pass on.
Those who live in Nevada face a unique estate planning landscape. The state no longer collects an estate tax, as its program ended in 2005 when the IRS repealed the federal death tax credit. However, residents must still account for a wide range of assets that make up the “gross estate,” such as real estate, securities, business interests, and insurance. Ensuring your priorities are reflected in your estate plan can help protect what you’ve built over the years. Consider these:
- Protecting Your Loved Ones and Dependents
The first priority of any estate plan should be to protect those who depend on you most. This includes naming guardians for minor children, providing financial support for dependents, and ensuring your family won’t be forced to navigate a legal or financial mess during an already difficult time after your passing or incapacitation. Without having a plan in place, these decisions would fall to the Nevada courts. This could add more stress and uncertainty to your family.Developing a comprehensive estate plan allows you to provide clear instructions on what should happen. You will have the chance to designate caretakers and set up different financial mechanisms, like trusts, to protect your assets. Whether you have young children or elderly parents or even a family member with special needs, planning ahead gives you more control over their future.
- Preserving Wealth and Managing Expenses
The second major priority is to ensure your assets are well-preserved and distributed efficiently without unnecessarily being taxed or charged with administrative costs. Even without Nevada’s rollback on the state-level estate tax, your estate can still be affected by different federal taxes, debts, and legal fees. To get ahead of this, you should work with a Las Vegas estate planning lawyer to structure a plan that minimizes liabilities as much as possible and maximizes the value that is passed on to your beneficiaries.Your gross estate may include a variety of cash assets, such as cash, securities, real estate, business interests, trusts, and annuities. On the other hand, deductions like debts, mortgages, and administrative expenses can impact the final value. Having a strategic plan in place helps you to organize these components more thoughtfully to preserve more wealth for the people you are intending to provide for.
- Ensuring Your Wishes Are Clearly Communicated and Followed
Perhaps one of the most overlooked portions of an estate plan is making sure your intentions are understood and legally protected at all costs. If your estate plan is filled with vague language, outdated material, or incomplete information, it can lead to confusion and disputes. This can put the people you love in the middle of a heated legal battle that could significantly delay the process.By documenting your wishes clearly with an attorney, you ensure that the decisions you have made about property, health care, and other end-of-life preferences are carried out exactly as you wish. This includes creating a will, assigning a power of attorney, and developing advance directives or living wills to ensure your medical decisions are taken care of. This will give your loved ones more confidence about what you want during uncertain times.
FAQs
Q: What Is the Difference Between an Executor and a Trustee?
A: An executor is the person named in your will who will manage your estate after you pass away. This differs from a trustee who will manage specific assets in a trust, which can be active during your life or after your death. Executors focus on tasks like paying off your outstanding debt and distributing assets to close out the estate, while trustees have more long-term responsibilities like managing investments and distributing funds over time.
Q: What Happens If I Don’t Name Anyone as the Executor?
A: If you don’t name anyone as the executor in your estate plan, the court can appoint someone to take on this role after your death. The court could choose someone you might not trust to handle your affairs should you leave this matter up to chance. You can save your loved ones from additional stress by naming an executor in your estate planning documents.
Q: Does Nevada’s Lack of Inheritance or Estate Tax Impact my Estate Planning Decisions in Las Vegas?
A: Nevada’s lack of state inheritance or estate tax means that your heirs won’t face additional state-level taxes on the assets they receive after your death, potentially allowing you to pass on more of your wealth directly to your beneficiaries compared to states with such taxes. For more information, contact the Nevada Office of Taxation’s Las Vegas office at (702) 486-2300 or consult with a well-versed estate planning attorney.
Q: Can I Change My Estate Plan Once It’s Made?
A: Yes, most estate plans can be updated as life circumstances change. This is also highly recommended, as events like a marriage or divorce can significantly change financial situations. Keeping it current ensures your wishes are accurate and legally enforceable, giving you peace of mind that your plan will still be as effective as you intended the first time you made it.
Contact Ken R. Ashworth & Associates Today
According to Caring.com, the percentage of Americans with a will in 2025 is 24%, down from 33% of respondents in 2022. Don’t be caught unprepared. The team at Ken R. Ashworth & Associates understands Nevada laws and is ready to assist you. Contact our firm today.
