by Kevin Bayley
“I don’t really have an estate,” some say when the topic of estate planning arises. You may have heard that the One Big Beautiful Bill passed last year makes the estate and gift tax exemption $15 million per person in 2026. You can pass that much money on when you die without paying any taxes on it. “Great, I’ll never get there, I don’t have to worry about estate planning,” many people think.
But avoiding taxes isn’t the main reason to do estate planning. Not having to pay tax means you don’t have a tax problem; it doesn’t mean you don’t have any problems.
It’s Not About “How Much,” It’s About “Who”
Estate planning is the only way to be confident that if something happens to you, whether that’s a hospital stay or your death, the people that you want to have making decisions are the ones who are doing so.
While many people think of this process as mainly about what is getting passed on at death, there are many other decisions to be made, some of which even affect you during life. For instance:
- If my spouse and I are hurt in an accident and can’t take care of our kids, who has permission to watch them so they don’t get put into the foster care system?
- If I’m in the hospital, who has the ability to make sure my power bill gets paid, my mortgage doesn’t fall behind, and who can take care of my pet?
- If I need care urgently and am unconscious, who can make decisions for me, taking into account my religious beliefs, conversations we’ve had throughout life, and what I’ve told them I want?
- If I pass away suddenly, who will be the one to make sure that all of what I own, however small it may seem, gets to who I want to receive it, whether family, friends, or my favorite charity?
What Happens Next?
All of these questions break down to “Who is in charge?” Your estate plan lets you choose and name these individuals, whether it’s as the trustee of your trust, the executor of your will, your agent under a durable power of attorney for assets, or your representative under an advance health care directive.
Bear in mind that the circumstances when these documents need to be called upon generally mean that something has happened not only to affect you, but also your loved ones. They may be scared, confused, or grieving. Writing an estate plan not only gives you peace of mind now, but is also a way you can take away some confusion for them later.
Many times, we get calls from family members only after someone is incapacitated or has passed away, asking what estate planning can be done. By that point the number of options has dwindled compared to if they had called just a month or a week earlier. By completing your estate plan now, you have options and can create a plan that works the way you want it to.
Getting It Done
When you decide you’re ready to start thinking about these problems, or even if you don’t know where to start, call Deka Law to help you get it done. You can reach us at info@dekalaw.com or (626) 765-6272.
Author: Kevin Bayley
