We cannot change the cards we are dealt, just how we play the hand.
– Randy Pausch
We find comfort in planning and talking through everything: our careers, education, work projects, vacations, meals and parties, retirement, family planning, weddings, divorce, financial planning.
Regardless of our age, no matter how much we plan, the one certainty in life is that life changes.
To ignore this doesn’t change it, but it can make it very cumbersome for others and, possibly, very expensive for you.
If you are unable to manage your life because of a medical crisis, how difficult would it be for someone to manage it, even temporarily, until you can take it back? What if someone else needs to stay on top of your bills for a month or two? Could someone manage your finances, represent your wishes to medical care providers or deal with your end-of-life choices?
Advanced directives can help others step in and handle those tasks and they should be part of your planning.
An advanced directive should include at least a will that is current; financial power of attorney (Hint: It doesn’t need to be an attorney); an advanced medical directive (which is a medical power of attorney); and a living will.
A will can be as simple as a handwritten note on a napkin that is dated and signed or it can be an elaborate document prepared by an attorney.
A “durable” power of attorney names someone who can continue to execute your wishes after you become mentally incapacitated, die or are unable to make your wishes known.
An advanced medical directive appoints a designee to make medical decisions that you have requested.
After deciding who will be your proxy, you need to have a conversation with that person about your wishes, your thoughts and your needs. Your wishes should be written down and signed by you.
Advance directives need to be kept current and available. Without directives, a serious accident or illness can have a big impact on your life, home, finances and loved ones.
In addition to death, major life events, whether expected or not, that can require a directive include, extended travel or hospitalizations, loss of consciousness, or major injury/paralysis.
Properly prepared directives can minimize problems resulting from one of those events.
To prepare, you can talk with your medical care provider, lawyer, financial adviser, religious adviser or a trusted family member to start your thought process.
For most of us, these hard conversations become somewhat easier as you get specific issues clarified. This includes what medical treatments and care are acceptable to you; who do you want to make decisions for you if you’re not able to; how will treatment be paid for; and what do you want to happen after you die?
Many people put off these decisions because of the cost of an attorney, but preparing a directive and will doesn’t have to cost anything or even require an attorney.
wendy.rice@colostate.edu or 382-6461. Wendy Rice is the family and consumer science agent for the La Plata County Extension Office.
Financial seminar planned
Colorado State University Extension Office will hold Legally Secure Your Financial Future, a program designed to help evaluate and organize all the legal affairs related to life issues from 5:30 to 7:30 p.m. in three sessions on March 10, March 17 and March 22 at the La Plata County Fairgrounds.
The first session will cover the important papers needed and how long they should be kept.
The second will be presented by a physician to discuss advance directives and medical powers of attorney.
The last will be led by an attorney specializing in estate planning to help answer questions about wills, trusts, etc.
The cost is $70 for all three or $35 per individual session.
To learn how you can pre-register, call 382-6465.
Major life events
Here are some life events that might trigger a need to change your advanced directive or will:
Marriage. Your primary beneficiary typically shifts to your new spouse. Your savings, investments and life insurance all need to be changed.
Remarriage. When children from a previous marriage are involved, your will’s beneficiary status needs to be changed to ensure your new spouse and children from your previous marriage are not disinherited.
Separation or divorce. A change in your marital status can be impacted by state laws, and you many need to change your beneficiary designations, retirement plans and insurance policies.
Relocating to a new state. Different laws from state to state make it beneficial to have existing documents reviewed by an attorney to see about necessary modifications.
Sale of a business, large inheritance or jackpot. Changes may be needed to minimize taxes specific to your state.
Addition of child or grandchild. Changes may be needed to set up gifting, college funds, inheritance or the formation of a 529 fund.
Beneficiary with special needs. If benefits are received from the state, you need to ensure any inheritance from you doesn’t disqualify the beneficiary.
