What Is the Most Important Decision in Estate Planning?

What Is the Most Important Decision in Estate Planning?

Posted on April 1, 2025 in estate planning

When it comes to planning for the future, many people focus on dividing up assets or trying to minimize their taxes. With so many choices to make, many find themselves asking, “What is the most important decision in estate planning?” More often than not, it comes down to who you appoint to manage your affairs. This is because the person you choose is responsible for carrying out your wishes and protecting your rights when you are not around or capable of doing so.

Making this choice becomes even more vital in states like Nevada, where a rapidly growing senior population and a heightened risk of elder exploitation make estate planning decisions more complex, yet more important than ever before. Working with a Las Vegas estate planning lawyer can help you navigate these local complexities and ensure that all of your estate planning activities are legally compliant.

Why Nevada Residents Should Pay Close Attention

Like many communities across the United States, Nevada is experiencing a significant demographic shift. Between 2011 and 2018, the state’s population of adults aged 65 and older increased by 46%. This is significant when compared to the national average of 30% during the same period.

As the population grows, so do the challenges. This has been especially true around elder abuse and financial exploitation. For instance, Nevada’s Elder Protective Services has worked to raise awareness and prevent coercion or manipulation in the estate planning processes, especially in the creation or modification of wills and trusts.

Even in well-meaning families, conflicts can arise. Choosing the right person to oversee your estate is a much-needed safeguard to consider.

Why the Right Person Matters

It’s important to understand the different types of roles that exist within estate planning to ensure you choose the right person in your network for the right job. Some of the most common include:

• Executor. An executor is the person who manages your estate after you pass away. Their responsibilities include filing your will with the court, notifying beneficiaries, settling debt, and distributing assets. To successfully hire a quality executor, you want to find someone who is responsible, organized, and preferably local.
• Trustee. If you are implementing a trust, you will need to select a trustee to be in charge of administering it according to your wishes. This person may need to manage investments, distribute funds over time, and ensure that each step of the process remains legally compliant the entire time. Because this is a long-term role, you want to choose someone you have a deep relationship with and feel confident in the longevity of their integrity.
• Guardian of the estate. If you have to plan for a minor child or an incapacitated adult, a guardian of the estate may be appointed to manage their finances. In Nevada, guardians must file an initial inventory of the estate within 60 days of appointment. This includes all real estate, personal property, financial accounts, vehicles, life insurance, and debts. Appointing someone who is detail-oriented and committed to transparency can be crucial.

Avoiding Coercion and Protecting Your Wishes

Because there is an increasing prevalence of elder abuse in Nevada, one of the biggest risks in estate planning is the potential for manipulation. That’s why it’s important to:

• Work with a qualified attorney who can identify red flags.
• Keep your documents updated while you are still healthy and able to make decisions.
• Communicate your desires with your family to avoid any confusion down the road.
• Document your capacity and intent, especially when you want to make significant changes.
• Do not choose an executor or trustee based on an emotional closeness. Rather, choose someone who is competent and has a strong ethical reputation.

FAQs

Q: What Are the Three Main Priorities You Want to Ensure With Your Estate Plan?

A: The three main priorities in estate planning are protecting your loved ones, preserving your assets, and making sure your wishes are stated clearly. Protecting loved ones includes appointing guardians for minor children and financially providing for dependents. Preserving your assets will require strategies to minimize taxes, avoid probate, and ensure efficient distribution of property.

Q: Why Is Estate Planning Important Even When I Don’t Have Many Assets?

A: Estate planning is not just for the wealthy, so even if you don’t own many assets, there is still value in engaging in the process. It’s about making sure your wishes are honored regardless of your financial status. Even with a lower amount of assets, you will likely have preferences about who should receive what you do have and who should handle your affairs if you cannot. Estate planning can also cover who can make healthcare decisions, which affects everyone.

Q: How Often Should I Update My Estate Plan?

A: It’s a good idea to review your estate plan every few years unless you experience a major life change sooner. This could include getting married, being divorced, having a kid, or anything else that significantly shifts your finances. Even if nothing major has changed, it’s still important to check in regularly to ensure that changing laws have not influenced your objectives. Keeping it as updated as possible can also prevent confusion and unintended consequences down the road.

Q: What Happens If I Don’t Have an Estate Plan?

A: If you pass away without having an estate plan in place, your assets will be distributed according to the probate process. Many individuals proactively set up estate plans to prevent this from happening, as they want to have a say in what happens to their belongings. Without leaving behind instructions, the court may get to decide who manages your estate and who receives what assets. The probate process can also delay distributions, causing unnecessary disputes between family members.

Contact Ken R. Ashworth & Associates Today

If you are looking to start planning for your estate or would like to modify an existing arrangement due to a change in life circumstances, contact our firm today. We have helped many Las Vegas residents build strong estate plans, and we can assist you, too.