It’s important to plan for the future—even if the future you’re planning for no longer includes you in the picture. Planning for your future shows deep care for the loved ones you leave behind.
With estate planning, most people already know about the value of having a will. But aside from wills, several other key documents form the backbone of a solid estate plan. These documents help ensure your wishes remain clear and legally binding.
Here are five estate planning tools every Texan needs beyond just a basic will.
Durable power of attorney
This document appoints someone you trust to handle your financial matters if you become incapacitated. Your agent can pay bills, manage investments and handle tax matters when you cannot.
Unlike regular powers of attorney, the durable version remains effective even if you become mentally incompetent—a critical feature for proper estate planning.
Advance directives
These documents spell out your wishes for medical treatment if you become terminally ill or permanently unconscious. Texas recognizes several types, including:
- Living will or a directive to physicians
- Do-not-resuscitate orders
- Medical power of attorney
A medical power of attorney is like a durable power of attorney. But this time, it gives power to your chosen agent to handle health matters or medical treatment.
Beneficiary designations
These forms determine who receives assets like life insurance, retirement accounts and certain bank accounts when you die. These designations override your will and allow assets to transfer directly without going through probate court.
Review these regularly, especially after major life events like marriage, divorce or childbirth. It’s also good to have a contingent beneficiary in addition to a main beneficiary.
Guardianship designations
For parents with kids under 18, naming guardians is one of the most important end-of-life decisions. Setting up guardianship means you choose who will raise your children if both parents die or can’t care for them.
Without your written choice, courts decide who raises your kids—possibly picking someone you wouldn’t have chosen.
Letter of intent
A letter of intent is a little different. While not legally binding like a will, this document helps your family understand why you made certain choices. You can explain why a family heirloom goes to a specific child or detail the type of memorial service you prefer.
This personal touch reduces family confusion and potential conflicts during an emotional time.
Building a complete estate plan
These five documents create the foundation of a solid Texas estate plan. Remember that these documents are just the start—you might also need trusts, business plans or special needs arrangements, depending on your situation. Speaking with an estate planning attorney may help you better understand other estate planning tools that may fit your needs.
