Planning for the future can be complicated. Thinking about losing the ability to make important decisions for yourself can be hard. So why is it so important to be proactive?
Representation Agreements: Why You Need To Plan Ahead
Understanding investing rules as a trustee
If someone you love and respect has designated you to be the trustee of a testamentary trust, you may already know the challenges ahead. Whether the trust was created to provide for a minor child, an individual with special needs or some other beneficiary, you can expect to devote much time and energy to managing the trust effectively according to the provisions in its documents.
Despite changes in tax laws regarding trusts, these are still valid estate planning tools for meeting the needs for which their grantors create them. With careful planning and investment, the assets funded to the trust can provide security and peace of mind to the beneficiaries. In order to fulfill this duty as a trustee, you may find it helpful to have some basic information about the laws in British Columbia regarding investing trust assets.
Should you proceed with challenging a will?
When someone you love dies, you probably will go through a grieving process that includes a heavy amount of sadness and anxiety. During this trying time, if you find out you were left out of your loved one's will, or you believe you aren't receiving your fair share, you may also feel anger, confusion and disappointment. But there are things you may be able to do to rectify the situation.
If your partner passes away and his or her will seems unfair to you, the court – by way of the Wills, Estates and Succession Act – may change the will to provide for you and any children. That law is the same for those who are legally married or those who are common-law spouses who have been living together for at least two years.
Power of attorney abuse, and where to turn for support
When you grant someone power of attorney rights, you likely make the choice by how much you trust the individual. Unfortunately, there have been instances when that choice hasn't been an ideal one and the chosen individual misuses and/or abuses his or her powers. If you find yourself dealing with an abusive attorney, there are things you can do to try to rectify the situation.
If you discover your attorney is being abusive by way of your finances, property or anything else of value, you may need the assistance of the court to recoup any lost assets. A POA is in effect until you either revoke it, you pass away or if you are no longer able to make decisions that allow you to provide guidance to your attorney - unless of course you have an enduring POA.
When adults need guardians
When older loved ones can no longer make decisions for themselves, you might have to step up to the plate and do so for them. As some people grow older, they experience memory loss, which could make decision-making difficult for them. Some forms of disability or injury could also increase the likelihood of some adults needing guardians.
Getting the court to appoint you as a guardian could be time-consuming and potentially costly. If you are already the power of attorney for your loved one, you could already be in a position to help. The Ontario Health Care Consent Act stipulates when relatives can make certain decisions for their incapacitated loved ones.
Beware of the challenges of being an executor of an estate
When a loved one or a trusted friend in British Columbia asks you to be the executor of his or her estate, it is a great honour. It shows that he or she regards you as a trustworthy person who will be able to handle the necessary tasks to close the estate. These include the collection of assets, settlement of debts, filing of the necessary tax returns and the distribution to the beneficiaries.
However, be aware that you have a choice if you are asked to be an executor, and the acceptance of the appointment is up to you. It is important to understand the challenges you will have to face before you give your approval to take on the responsibility.
