How can you properly plan for your potential incapacity?

On Behalf of | Aug 3, 2021 | Estate Planning |

Planning for your future is important as a Nevada resident. You never know what might happen in the future regarding your health. You might even be rendered incapacitated and unable to care for yourself, your property and your finances. While you’re planning your estate, you should prepare for a potential incapacity in the future as an added level of protection.

What should you know about planning for incapacity?

During the estate planning process, planning for incapacity is a wise, safe step to take. It ensures that your wishes will be carried out in the future if you are unable to make decisions for yourself regarding your health and finances. When you create an incapacity plan, you should include a few components. They include the following:

  • Healthcare power of attorney: This is an advance medical directive that names a trusted person to legally have the right to make decisions about your healthcare when you’re unable to do so. The power of attorney makes sure that your medical and health wishes are protected and carried out.
  • Living will: A living will details the type of healthcare you want to get if you become incapacitated or fall unconscious due to an injury or illness.
  • Do not resuscitate order: You can choose to have a do not resuscitate or DNR order if you prefer not to be resuscitated if you are terminally ill or have higher risks of complications.
  • Revocable living trust: This legal document ensures that your property and assets can go to your heirs without going through probate. If you’re incapacitated, a chosen trustee will manage the affairs for you.
  • HIPAA release: This document gives doctors and other medical professionals the right to discuss your medical information with trusted family members or friends you choose. It allows your loved ones to know what’s going on with your health when you’re incapacitated.

Why is it so important to plan for incapacity?

When you are planning your estate, addressing incapacity is essential. If you don’t have a plan in place and are then rendered incapacitated, it can be very emotionally and financially costly for your loved ones. Things in life are often uncertain, but when you have a plan for incapacity created, it can spare your family a lot of added pain and financial stress. It also allows you to decide what happens to you and your property.