'MO - November 2008 - (Page 11)

community LEGALLY SPEAKING Getting Your Estate in Order By Mona Smith and Jonathan Bowman Estate planning allows us to have control over who will make decisions for us if we are unable to do so, and allows us to leave our personal and real property to those we choose. Some of the most frequently requested estate planning documents include: DURABLE POWER OF ATTORNEY A durable power of attorney allows you to choose who will step into your shoes to make financial and/or legal decisions. Generally, a DPOA allows your “attorney-in-fact” to pay your bills, have access to your bank and other financial accounts, make investments, buy and sell property, to bring lawsuits and defend against lawsuits on your behalf, and to hire professionals to represent you and your estate. DURABLE POWER OF ATTORNEY FOR HEALTH CARE A durable power of attorney for health care allows you to choose who will step into your shoes to make medical decisions for you, particularly if you are unable to make medical decisions for yourself. Generally, your “attorney-in-fact” can talk with your doctors, have access to your medical records, make treatment decisions including rejecting treatment, have hospital visitation with you, and make decisions about organ donation. Each of these powers of attorney can become effective immediately, or can spring into effect when one becomes either incompetent or incapacitated and unable to make decisions for his or herself. When the power of attorney becomes effective upon execution, you are allowing another person to make financial and legal decisions for you even though you may be capable of making decisions for yourself. Q. Do I need powers of attorney if my partner and I are registered domestic partners? Durable powers of attorney should be recognized in any state in the country and most likely in foreign countries. The important rights provided under the Domestic Partnership Act are recognized in the state of Washington, but there is no guaranty that another state will moseattle.com recognize your relationship and the rights conferred under Washington law. Additionally, the rights under the Domestic Partnership Act are given to only your registered domestic partner. If your partner is not available to make decisions for you, then a guardian may need to be appointed or physicians may rely only on your next of kin. Also, Durable powers of attorney provide for alternate attorneys-in-fact in the event the primary attorney-in-fact is unable to fulfill his or her obligations. HEALTH CARE DIRECTIVE The health care directive is also known as a “living will.” The health care directive directs health care providers not to artificially prolong your life if you are in a persistent vegetative state and you would not survive but for being kept alive with machines. The health care directive also allows you to refuse extraordinary care such as tube feeding to keep you alive. Having a health care directive takes the difficult and emotional decision-making to end one’s life out of the hands of your loved ones, family, doctors and the judicial system and lets you make the decision for yourself. WILL A will allows you to designate to whom you want to leave your assets. You can bequeath personal and real property in which you have an interest.* You can set up testamentary trusts to hold property for children or for others to whom you want to receive a benefit of your estate, but not all of the asset(s) at once. You can designate a guardian(s) for minor children. You can have trusts set up to fund the care of your pets. You can also be philanthropic in giving to your favorite charities. Essentially, in a will you have the ability and control to distribute your estate as you desire. *It is important to note that the recently added provisions of the WA Domestic Partnership Act appear to have created community property between registered domestic partners. As such, like married couples, you cannot bequeath community property to anyone other than your spouse; ie. your registered domestic partner. Q. Do I really need a will if my partner and I are registered domestic partners? If you do not have a will, each state has its own intestate statutes that will direct how your estate will be distributed regardless of your intentions. With the Extended Domestic Partnership Act, registered domestic partners would inherit in the same manner as married spouses, but that in and of itself does not guaranty that your domestic partner will inherit all of your worldly possessions if you pass without a will. Also, if you are registered domestic partners who move out of Washington, the laws of the state in which you reside may not recognize your relationship and exclude your partner from inheriting from your estate if you do not have a will. Estate planning can also include life insurance, funded revocable and irrevocable trusts, retirement accounts, payable on death bank accounts, which with designated beneficiaries usually pass outside of probate. However, the value of these types of assets is counted in determining the value of your estate for tax purposes. When creating an estate plan, you should consult professionals who can assist you, including accountants, attorneys, and financial planners. Mona Smith (mona@smith-law.net) and Jonathan Bowman (jonathan@bowman4law.com) are attorneys, whose practices of law include real estate, business, domestic partnership, and estate planning. Their ofﬁces are located on top of Queen Anne in Seattle. 11 issue 21 | november 2008 http://www.hairbyaaron.com http://www.moseattle.com

Table of Contents Feed for the Digital Edition of 'MO - November 2008

'MO - November 2008 Contents Letter from the Editor Voices Elections '08: What Really Happened Instant Activist Pet Project Legally Speaking: Estate Planning 'mo-BIZ: Thinking Cap Communications & Design, Inc. Whistler-Blackcomb's Peak 2 Peak Gondola Form & Function: Stay Up on the Downhill: Glutes & Legs Gay City Health Project: 10 Tips for Safe and Healthy Travel Head for the Hills: The Top 4 Gay Ski Weeks in North America Book Review: Waiter Rant Book Review: The Transgender Child Capitol Hill Guide Live Event Preview: Teatro ZinZanni's A Rosa de Rio Live Event Preview: Jennifer Holliday and the Seattle Men's Chorus DVD Review: Kiss the Bride SceneOut: People@Places 'mo-Single Q&A

'MO - November 2008

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