Illinois Estate Planning Guide: FAQs and Legal Terms

 Posted on December 30, 2024 in Estate Planning

You have probably heard the term "estate planning" but are unsure exactly what it means and includes. If you have begun to research, you have likely seen a lot of unfamiliar legal terms. Before developing an estate plan, you need to understand what it is, how it can benefit you and your beneficiaries, and what the terms mean. Working with a knowledgeable Barrington, IL estate planning attorney can provide the answers and assistance you need.

Legal Terms Used in Estate Planning

You cannot make informed decisions if you do not grasp what these legal terms mean:

• Administrator: A court-appointed person who manages an estate after its owner dies, whether without a will or if the named executor cannot fulfill her duties.

• Assets: Anything a person owns, including personal possessions, financial accounts, investments, and real estate.

• Beneficiary: A named party receiving assets through your estate’s distribution.

• Bequest: Property or gifts designated in a will.

• Estate plan: A process that plans for your medical, financial, and guardianship needs if you become incapacitated or die.

• Executor: The person or party you choose to execute your will and estate plan after your death.

• Grantor: The person who creates or contributes to a trust.

• Healthcare directive/living will: A legal document addressing your medical intervention preferences and end-of-life healthcare choices.

•  Intestate: Dying without a will.

• Power of attorney: A legal designation allowing a person or people to make certain decisions for you if you become incapacitated.

• Probate: The legal process of will execution and settling financial matters after death.

• Trust: A legal agreement that organizes and handles your property while you are alive and after your death.

• Trustee: A designated party who manages a trust and its assets.

•  Will: A legal instrument ensuring your assets are distributed according to your wishes after death.

If you encounter a term not listed here, just ask your attorney to explain.

Estate Planning FAQs

I do not have many assets, so do I really need an estate plan?

Yes, anyone can benefit from an estate plan because it covers much more than asset distribution after your death, including:

• Taking steps to avoid probate

• Assigning caregivers for your minor children and pets

• Planning for the unexpected while you are alive, such as healthcare directives and powers of attorney

I am too young to create an estate plan, right?

No, as soon as you begin earning an income, you should consider estate planning. You can update it periodically throughout your life, especially after significant events like having a child or buying a home.

Can I create my own estate plan without a lawyer?

You could develop an estate plan without legal assistance. Unfortunately, some people choosing this option make mistakes that are not discovered until after their incapacitation or death. However, our intimate familiarity with the applicable laws, procedures, and considerations offers you distinct advantages.

Consult With a Dedicated Barrington, IL Estate Planning Attorney

Do not leave the distribution of your estate or decision-making authority during your incapacitation to chance. Call Lucas Law at 847-381-8700 or contact us online to discuss your needs with a skilled Barrington, IL probate lawyer.