Create a will. For LGBTQ individuals, it’s important to specify clearly who will inherit their assets, especially if they are unmarried or in a domestic partnership. Without a will, your assets may go to biological family members instead of your partner or chosen family.
Designate power of attorney. A power of attorney lets you appoint someone to make legal and financial decisions for you if you become incapacitated. This is important for LGBTQ individuals who want their partner or trusted person to be in control instead of a family member who may not respect their wishes.
Establish a healthcare directive. A healthcare directive, or living will, designates someone to act as your healthcare proxy, allowing your partner or chosen person to make medical decisions on your behalf, if needed. And could help avoid potential legal disputes or challenges from family members.
Consider a trust. A trust can help LGBTQ individuals avoid probate and allow for the transfer of assets to their beneficiaries. Trusts are useful for protecting assets and carrying out your wishes without the need for court intervention. Several types of trusts may work for your estate, including a testamentary trust, special needs trust and charitable trust.
Name guardians for children. You should consider estate planning for your children, and naming guardians in your will is a key step in that process. This allows you to specify who will care for your children if both parents pass away and helps avoid the risk of a court appointing someone who may not align with your beliefs and wishes.
Update your beneficiaries. Be sure to regularly review and update the beneficiaries on important documents and accounts. This can include life insurance policies, retirement accounts and other financial instruments. Make sure they reflect your current relationship status and estate plan, especially after significant life changes like marriage, divorce or the birth of a child.