Estate Planning involves arranging or planning for the control, management and disposal of a person’s estate whilst still alive (Inter vivos) and/or upon demise (by Will – Testamentary) to ascertain that families and loved ones are adequately provided for. What constitutes an Estate include every asset belonging to a person whether Tangibles or intangibles.
The vehicles of Estate planning are Wills and/or Trusts. A Will provides for disposition after the demise of the maker, while a trust allows for the transfer of asset during the lifetime of the maker. But it must be noted that a Trust can also be created in a Will for the management or transfer of assets to beneficiaries or for the fulfilment of an objective.
Estate planning is of importance as it helps a person identify and gather all his assets, provide for mode of transfer to loved ones after demise and or incapacitation. It also helps to avoid legal issues amidst family members for asset of a deceased who died intestate.
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