If you have been following our blog, you may have noticed that many of our articles are focused on protecting your assets and final wishes after your death. Here, we’ll take a broader approach to estate planning. Let’s consider that estate planning is the shield to protect so much more.
Traditionally, estate planning is the act of giving order to your affairs so that they will be managed if you become incapacitated or deceased. Some familiar tools in that process are: powers of attorney, wills, trusts, custodial wishes, living wills, and joint tenancies. As people age, they become targets of financials scams or victims of elder abuse. When planned correctly with a legal professional, an estate plan can help prevent elder abuse.
The sad reality is that elder abuse exists, and sometimes people who you trust may make decisions that will benefit them, and not you. Awareness and education with your estate plan is your first step to preventing elder abuse. Here are a few questions to consider when you are working on your estate plan:
Do you have any conflict of interest with the person preparing your estate plan or estate documents?
Often, family members or trusted friends may offer to prepare your documents because it is “cheaper”. While it may be less expensive, they may make suggestions that could possibly benefit them, before protecting you. It is always best to acquire the services of a neutral party who can help you plan for your best interests.
Are you able to complete the documents?
When you begin the estate planning process with a legal professional, we assume you have full mental and physical capacity to make your own decisions. A court can declare you incapacitated if you are impaired by mental illness or deficiency, physically impaired, or an advanced age to be unable to make responsible decisions.
Is someone imposing “undue influence” on you?
There are three factors to consider when determining undue influence. Is there a confidential relationship between you and another person? Does this person have a dominant influence on your decisions? Can the person gain an unjust advantage against you? If the answer is yes, this person could isolate you from trusted family and friends in an effort to execute estate plans in their favor.
What are the best preventative actions for financial abuse?
Carefully select people you trust to act on your behalf. Consider the length of time that you have known them, and how they handle their own affairs. Keep in mind that people can be very charismatic, and create a sense of trust. Consider if they have a history of bad relationships, unstable jobs, or financial woes. This may be an indicator of a poor choice in handling your affairs. Their history can show any patterns to question. At any point, you can request accounting of your assets. If any mismanagement is evident, you can seek restitution.
Ultimately, the best preventative action is to work with a legal professional, and establish an estate plan well before an advanced age. Services can be very affordable while you also have the confidence that you are working with someone who is focused on your best interest. Peace of mind regarding your future is priceless.
