Pub. 2 2018 Issue 1

By UAFP Partner, Brian Berkelbach Es tate planning f or business owne rs A ll business owners can benefit from some level of estate planning. Building protection into your business plan is one of the most im- portant decisions you can make to safeguard your partners, your employees and your family. Here, we will discuss the four key components of estate planning to make sure you are well set up for success. The most fundamental estate planning tool is a will. A properly executed will, gives clear direction to your executor about how to manage or distribute your assets when you pass away. Then, a somewhat more complex component of an estate plan is a revocable trust—this is a legal entity created to hold your assets while you’re alive. Among the many benefits is that your appointed trustee can take over management of your assets if you’re incapacitated. A revocable trust stream- lines the transfer of your assets by helping avoid potentially lengthy legal proceedings and costly court fees. A trust may also provide creditor protection for the beneficiaries. Next are powers of attorney. Naming a healthcare power of attorney means your representative can make crucial medical decisions on your behalf should you be unable to, while a financial power of attorney can pay your bills and manage your finances until you get back on your feet. Finally, a buy-sell agreement is a powerful estate planning tool. A buy-sell agreement is a way to help ensure a smooth transition of your business and ensure your family’s finan- cial goals are met after you’re no longer around to take care of them. A buy-sell can also outline the terms of succession among the remaining partners, so that all terms are agreed upon in advance. Some basic estate planning may be done using self-guided online tools, but typically you should use a licensed and ex- perienced attorney to help you draft and execute your plan. The best way to go about it is to make sure that your at- torney, financial advisor, and insurance agent are working together on managing and planning your estate.  Neither UAFP Partner New York Life Insurance Company nor its Agents or affiliates provide tax or legal advice. Consult your legal or tax advisor to find out whether the concepts in this essay apply to your personal circumstances. This educational third-party article is provided as a courtesy by Brian Berkelbach, Agent, New York Life Insurance Com- pany. To learn more about the information or topics discussed, please contact Brian Berkelbach at (609) 425 – 2169, bberkelbach@nyl.com, or 150 W. Civic Center Drive, Sandy, UT 84070. www.UtahAFP.org | 18