The Three P’s of Estate Planning
A good estate plan is easier to understand than most people expect. It comes down to three things, in the right order: your People, your Property, and your Plans. Everything else follows from there.
Estate planning has a reputation for being complicated, expensive, and easy to put off. At DaltonMurray, we have found that most people put it off not because they do not care (they care very much) but because they do not know where to start. The Three P’s are our answer to that problem. They give you a framework that is simple enough to hold in your head but complete enough to guide a real plan.
We use this framework with every client, from the young family putting a first plan in place to the retired couple revisiting documents they signed twenty years ago. The questions are always the same. The answers, and the plans they produce, are always unique.
People
The first step is identifying the people who matter in your plan. This begins with you: your health, your circumstances, and your wishes. Then it extends to the people around you: a spouse or partner, children, aging parents, siblings, grandchildren, and others who depend on you or whom you want to provide for.
Equally important are the people who will act on your behalf. Who will manage your finances if you cannot? Who will make medical decisions if you are incapacitated? Who will carry out your wishes after you are gone? Who will raise your children if something happens to both parents? These choices are deeply personal, and getting them right matters as much as any legal document.
We explore all of these relationships carefully in the first meeting. Some of the most important decisions in your plan are decisions about people, not assets.
- Who is in your family and how are they situated?
- Who do you trust to act if you cannot?
- Who will serve as executor, trustee, and agent?
- Who will care for minor children or family members with special needs?
- Are there family dynamics we need to plan around?
Property
Once we know your people, we look at what you own. Property in an estate plan means everything of value: your home, bank and investment accounts, retirement accounts, life insurance, a business interest, personal property, and anything else you own or control.
Not all property passes through your will or trust. Jointly held property passes to the surviving joint owner by operation of law. Retirement accounts and life insurance pass to the named beneficiary, not to whoever the will names. Property held in trust passes according to the trust terms. Understanding how each asset actually passes is one of the first things we work through, because a plan that ignores how title is held may not work the way you intend.
We also look at whether your estate has a Massachusetts estate tax exposure, whether there are assets that need protection from future creditors or care costs, and whether the overall structure needs updating since your documents were last drafted.
- How is each asset titled, and how does it pass at death?
- Are beneficiary designations current and consistent with the plan?
- Does the estate have a Massachusetts estate tax exposure?
- Are any assets at risk from creditors or long-term care costs?
- Is there a business interest that needs its own planning?
Plans
With your people and your property clearly in view, we build the plan. This is where the legal documents come in, not as the starting point, but as the end point of a conversation that began with your actual situation and goals.
For most people, the core documents include a will, a durable power of attorney, a health care proxy, and often a revocable living trust. Beyond that, the plan varies by family. A parent of a child with a disability needs a special needs trust. A business owner needs a buy-sell agreement. A couple with a taxable estate needs credit shelter planning. An aging parent needs long-term care and MassHealth planning. The framework is the same; the plan is yours.
We explain every document in plain language before anything is signed. When we are done, you leave with a complete binder, a clear understanding of what you have put in place, and the peace of mind of a plan that is finished.
- Last will and testament
- Revocable living trust (where appropriate)
- Durable power of attorney
- Health care proxy and HIPAA authorization
- Trusts for minor children, special needs, or tax planning
- Coordination of beneficiary designations and asset titling
How the Process Works
If you are like most people, making an appointment with an estate planning attorney is not at the top of your to-do list. It does not have to be difficult. Here is what to expect.
The Initial Consultation
We talk about your situation, your family, and your goals. Initial consultation: $250. You do not need to bring documents or have all the answers. You just need to show up. We will guide the conversation.
The Plan and the Quote
After the consultation, we give you a clear proposal: what documents we recommend, why, and what it will cost. No surprises. We take the time to make sure you understand the plan before we draft a single page.
Review and Signing
We prepare your documents and review them with you before the signing meeting. At the signing, we walk through everything again. You leave with a complete binder and a finished plan, and the peace of mind that comes with it.