Founding Attorney
Planning for the future can feel daunting for solo agers. Unlike traditional family setups, solo agers—those who may be single, childless, or without nearby relatives—face unique challenges when preparing for their later years.
While these challenges can seem complex, there are straightforward ways to ensure your wishes are honored and your well-being is prioritized. This blog outlines key estate planning tools, including wills, trusts, and guardianships, to help you prepare confidently for what lies ahead.
Why Solo Agers Need a Strong Estate Plan
Solo agers often don’t have a built-in network of immediate family members to rely on for support. This makes having a comprehensive estate plan all the more essential. A strong estate plan provides:
- Peace of mind–Knowing that your assets and health are safeguarded can alleviate stress.
- Clarity for loved ones and friends–Planning your estate reduces the likelihood of disputes or confusion after you’re gone.
- Legal protection–An estate plan ensures that the courts know how to handle your assets after you pass on.
If you’re a solo ager, you may want to explore a few specific options to make your plan as robust as possible.
Wills: The Foundation of Your Estate Plan
A will is often the first document that comes to mind for estate planning—and with good reason. A will allows you to:
- Specify how your assets will be distributed–From bank accounts to personal belongings, a list will be provided of who will receive your possessions.
- Designate an executor–This person handles your estate according to your instructions.
- Name a guardian for dependents–Though solo agers may not have children, some may have dependents or pets needing guardianship.
Creating a will can help eliminate any uncertainty regarding your legacy. Without a will, state laws will determine how your assets are distributed, which may not align with your wishes. A will provides a clear, legally binding roadmap for those handling your estate, minimizing misunderstandings or potential conflicts.
Trusts: Added Protection and Flexibility
A trust can be a powerful addition to your estate plan, offering added flexibility and control over your assets. Here’s how it benefits solo agers:
- Avoids probate–Probate can be time-consuming and costly. A trust helps your beneficiaries avoid this process, ensuring quicker distribution of your assets.
- Allows for specific instructions–You can include detailed instructions, such as how assets are distributed over time, which may be helpful if you have beneficiaries with unique needs.
- Provides privacy–Unlike a will, a trust is not a public document, so your financial matters remain confidential.
For solo agers, a revocable living trust is especially appealing because it allows you to manage your assets while alive and set clear instructions for after your passing. You remain in control and can adjust the trust as needed.
Guardianship: Planning for Health and Financial Decisions
A common concern for solo agers is who will make health and financial decisions if they become incapacitated. This is where guardianship planning comes into play.
- Health care proxy–Designate someone to make medical decisions on your behalf. Without this, courts may appoint a guardian, which could lead to someone unfamiliar with your values making those choices.
- Durable power of attorney–This document names someone to handle your financial matters if you cannot. A power of attorney is particularly important for solo agers, as it reduces the risk of court-appointed strangers overseeing your affairs.
These documents act as your voice when you cannot advocate for yourself. Choosing trusted friends or professionals with a strong fiduciary duty can give you peace of mind that your best interests will be honored.
Building a Support Network
Solo agers may worry about lacking a natural support system. While family members often fill this role, friends, trusted advisors, and even professional guardians can be just as effective.
- Choose your representatives carefully–You may want to appoint friends or professionals who understand your values and will respect your wishes.
- Establish regular check-ins. Having a circle of people who understand your estate plan and can periodically check in can ensure that your wishes remain up-to-date and relevant.
For more complex needs, consider hiring a trust company or professional fiduciary. These experts are bound by a legal duty to act in your best interests and can offer an unbiased, consistent presence in managing your estate.
Taking the Next Steps
Starting your estate plan as a solo ager can feel like a significant step, but it doesn’t have to be overwhelming. A well-crafted plan ensures that your assets and health are protected, reflecting your wishes even in uncertain circumstances. Talk to an experienced estate planning attorney at Merlino & Gonzales who can address the unique concerns of solo agers and help protect your legacy