The common Estate planning Goal is to ensure that all your assets Physical, financial and online are distributed among your loved ones as per your wish and avoid disputes among the family members after your demise.

After all, financial troubles, legal hassles, and confusion would be the last thing you want for your family in times when they are already in a state of emotional grief.

The estate includes all the assets and liabilities that you possess. For example, jewellery, car(s), property, financial assets like- bank deposits, mutual funds, shares, PF balance, life insurance proceeds, or any other valuables for that matter.

Not only death, but estate planning will also help you prepare for unforeseen exigencies like- incapacitation, etc. It is the situation when you are incapable of making decisions due to any physical or mental condition. 

The main tools to carry out this process are – Nominations, Joint holdings, Will, Trust, Power of Attorney, etc.

Nomination and joint holdings are the simplest of the measures to pass on your assets to your loved ones. Ensure proper nomination in all your assets and have joint holdings where ever applicable.

A will is a legal document that states your ultimate desires, including how you want your assets to be distributed. Writing a will allows you to determine who will receive your assets when you die, as well as who will raise your minor children if you and the other parent is deceased.

Creating a Trust is another good tool of estate planning in India. A Trust is a fiduciary agreement that allows the person who creates the trust (Settlor or the Author) to grant the Trustee the authority to hold the Assets or property on behalf of or for the benefit of Beneficiary. There are different types of trusts like private, public, living, testamentary, revocable, irrevocable trust etc.

When it comes to estate planning in India, people are of the view that it is meant for only the rich and the wealthy, who own huge assets or have a big family business in place. This is not really true.

Estate planning is needed by each and every person who owns any asset (even liability) and wants to distribute it as per his/her wish. It doesn’t matter what the value of assets is. 

If you think that it’s a difficult task, involving various complexities and you cannot do it on your own, do not hesitate to take professional help to make sure you have done things correctly.