Estate planning in simple terms refers to the passing assets / investments down from one generation to another. You decide how much of your estate – be it property(s), car(s), personal accolades, financial investments, etc. – you want to pass on to whom and how, after your demise(lifeterm).
It is a dynamic process that needs to be reviewed at regular intervals to absorb any changes that might happen in your life or in the laws of the country.
Well, broadly there are two ways – A Will and a Trust.
1. Will - A Will is legal declaration of the intention by the one making it – the testator –with respect to property that he/she desires to be carried into effect after his death.
2. Trusts- A trust is an agreement between the settlor and the trustees to transfer thelegal ownership of assets / property to the trustee with the obligation that the same should be held for the benefit of the beneficiaries as specified in the trust deed.
It’s only the unbiased financial advisor who can suggest & insist on making will otherwise if any other family member does this, his/her intension is doubted usually.
