The Must-Have Texas Estate Planning Checklist

Planning for your estate involves more than just having a will in place.

A comprehensive estate plan ensures your final wishes are honored, your loved ones are taken care of, and unnecessary disputes or expenses are avoided when you pass away.

Essential documents like wills, trusts, and powers of attorney play a role—but estate plans also need to follow Texas trust and probate codes.

Core Estate Planning Documents

While a thorough Texas estate plan encompasses much more than documents, three key instruments form the backbone of most people’s plans.

These essential tools provide critical protections and directions regarding your healthcare, finances, property, and more when you pass away or cannot make decisions yourself.

A last will and testament, living trust, and powers of attorney comprise this central trifecta around which the rest of your customized estate plan revolves. Let’s explore each one so you understand how they work together.

The Last Will and Testament

A legally valid will is the cornerstone of your Texas estate plan. It names an executor to oversee settling your estate, specifies inheritances, and gives instructions on how assets should be distributed after payment of debts and taxes.

Under Texas law, you must sign your will before two adult competent witnesses and execute it according to statutory requirements so the courts can uphold it after your passing.

Living Trust

A revocable living trust is an arrangement that lets you transfer ownership of estate assets to a trustee who manages the property for beneficiaries you select. Trusts avoid the delays and expenses of Texas probate, and you structure them as revocable (amenable) or irrevocable (permanent).

Our state imposes legal compliance measures regarding creating valid trusts and how trustees administer them, so professional guidance is necessary.

Financial Power of Attorney (POA)

Also known as a durable power of attorney, This legal document authorizes someone to handle financial and business matters on your behalf if you become incapacitated. Many estate planners choose a trusted family member or friend to fill this role. POAs allow your appointed agent to access accounts, pay bills, and take other actions based on your set limitations.

Medical Power of Attorney

A medical POA empowers someone to make decisions about medical treatments and care if you cannot make these choices yourself. Selecting an agent who understands your preferences regarding end-of-life care and will keep your best interests in mind is essential.

Texas Estate Planning Considerations

Now that we’ve covered the three main estate planning tools, it’s important to note some additional considerations unique to Texas.

Our state has particular requirements for properly executing documents like wills and trusts. We also have specialized laws that mandate what happens if you die without an estate plan. Texas also has community property laws that can influence how the courts distribute assets.

Understanding these specifics allows you to customize arrangements that align with your wishes and withstand Texas probate court scrutiny after you leave.

Proper Execution and Legal Validity

Texas statutes set forth the rules regarding the proper execution of estate planning documents like wills and trusts. One rule states that witnesses must observe you signing your will or trust, and you must declare the documents are yours. Notarization is also necessary in most cases.

Texas Rules of Intestate Succession

If you pass away in Texas without a valid will or trust, state intestate succession laws dictate who inherits your estate. Estate planning strategically overrides succession distribution schemes to ensure assets go where you want.

Texas Community Property Laws

Texas recognizes all property acquired during a marriage as jointly owned “community property.” However, exceptions exist for certain assets owned separately. This rule can impact estate distribution, especially for blended families, so consider these laws when planning your estate.

Critical Steps in Finalizing Your Texas Estate Plan

With your core Texas estate planning documents squared away, there are still a few more boxes to check that complement your instruments and tie everything into an airtight plan.

Thoughtfully designating beneficiaries, titling property, and periodically reviewing your plan are key finishing touches. These tasks prevent you from leaving assets out of your will and ensure your wishes stay in harmony with changes.

They also help your loved ones settle your affairs after your passing.

Let’s explore the final steps for bulletproofing your Texas estate plan.

Creating Beneficiary Designations

Properly designating beneficiaries through assets like life insurance policies, retirement accounts, and POD bank accounts allows property to transfer directly to individuals outside of wills or trusts.

Titling Property Appropriately

How you title your home, vehicles, investment accounts, and other valuable property also influences distribution both during life and after your passing. Understand how Texas community property laws affect joint or separate titling and ownership.

Reviewing Your Estate Plan When Major Life Events Occur

Laws change. Asset values fluctuate. And intended heirs may enter or exit your life as the years pass. Revisiting your Texas estate plan regularly and whenever one of these events occurs makes sense.

Get Started on Your Texas Estate Plan with The Marx Law Firm

If you live in Texas, properly executing a customized estate plan is too important to put off any longer. It provides immense peace of mind knowing your final wishes will be honored, heirs provided for, disputes avoided, and assets preserved as intended.

The experienced Texas estate planning lawyers at the Marx Law Firm offer in-depth consultations to review your unique circumstances and goals.

Contact our office today to schedule a meeting with one of our knowledgeable estate planning attorneys, who will explore your current wishes and needs before designing an airtight estate plan that aligns with Texas’ complex trust and probate rules.

The sooner you act, the sooner you can relax, knowing your legacy and loved ones are protected.