Estate planning is about setting up your financial and legal affairs so that you and your family are properly protected. Alarmingly, many people do not have an adequate estate plan. The AARP reports that 60% of U.S. adults lack any estate planning documents. You need the right estate plan. A well-crafted estate plan should be comprehensive. Both tangible and intangible assets should be addressed. Here, our Ohio estate planning attorney explains the key things to know about differences between tangible and intangible assets in estate planning.
Estate Planning: Tangible and Intangible Property
A key part of the estate planning process is making considerations for your property and assets. In effect, you need to create a plan for what will happen to everything that you own. For the purposes of estate planning, your property can be divided into two broad categories:
- Tangible Property: Tangible property is physical property. It is the personal property that you can actually touch. Some notable examples include automobiles, furniture, jewelry, antiques, and family heirlooms. Some tangible property has immense fair market value. Other tangible property has considerable sentimental value, but limited market value. For example, a family photo album may be very important despite having limited market value.
- Intangible Property: Intangible property is the non-physical assets that you own. These assets are oftentimes even more valuable than tangible property. Examples of intangible property include bank accounts, investment accounts, stock ownership, and life insurance benefits. With intangible property, it is crucial that the ownership interests are assigned to the right party.
An Estate Plan Should be Customized to Meet Your Needs
When you craft an estate plan, it is crucial that you conduct a comprehensive inventory of all of your tangible assets and intangible assets. Once you know exactly what you own, you will be in the best position to create a plan that:
- Preserves the value of your property;
- Protects your assets from unnecessary taxes and fees; and
- Provides property to your desired heirs.
An experienced Ohio estate planning lawyer can help you put a strategy together than ensure that your tangible and intangible assets are passed along to the appropriate heirs without problems. You can use a will, trust, beneficiary designations, and other estate planning tools.
Schedule a Confidential Consultation With an Estate Planning Lawyer in Ohio
At Kryszak Law Firm, Co., LPA, our Ohio estate planning attorneys are committed to building long-lasting relationships with our clients. If you have any specific questions about planning for tangible assets or for intangible assets, we can help. Call us today or contact us online today. We provide estate planning services throughout the entire region.