Many single individuals mistakenly believe that estate planning is only necessary for those with spouses or children. However, it is equally important for singles, particularly in Tennessee, where state-specific laws can impact how assets are distributed, and medical decisions are made if no plan is in place.
Here, you can learn about estate planning for singles and why you shouldn’t put it off.
Protecting your assets
Without an estate plan, Tennessee’s intestacy laws determine how your assets are distributed upon your death. This typically means your estate will go to your closest living relatives, such as parents or siblings, regardless of your wishes. A will ensures that your assets go exactly where you want, whether to friends, charities, or extended family members.
Healthcare and financial decisions
If you become incapacitated in Tennessee without a designated healthcare proxy or power of attorney, the court may appoint someone to decide. This could be a relative or court-appointed guardian who may not align with your preferences. By setting up a durable power of attorney and a healthcare directive, you can select trusted individuals to make important medical and financial decisions for you.
Estate planning tools to consider
Singles in Tennessee should consider several key documents when planning their estate:
- A Will: To specify beneficiaries and outline how your estate should be distributed.
- Durable Power of Attorney: To grant someone the authority to manage your financial affairs if you are unable to do so.
- Healthcare Directive: To state your medical wishes and appoint a healthcare proxy.
- Beneficiary Designations: Ensure your financial accounts and insurance policies have updated beneficiaries.
Estate planning as a single person in Tennessee ensures that your wishes are honored and your assets are protected, giving you peace of mind and control over your future.