Planning for the Future After a Terminal Diagnosis

A terminal diagnosis brings a whirlwind of emotions and uncertainties, but it also presents an opportunity to take control of the future. Thoughtful estate planning can ease the burden on loved ones, ensure wishes are honored, and provide peace of mind during a difficult time.

If an estate plan is already in place, now is the time to review and update key documents. A will or trust should reflect current intentions, ensuring assets pass according to one’s wishes. Beneficiary designations are just as important as the documents themselves. Beneficiaries named on retirement accounts and life insurance policies should be checked to avoid unintended distributions. And remember, if you have a trust, ensure it is funded – meaning, the assets you intend are transferred or retitled to the trust’s name.

Ensuring that powers of attorney for both financial and healthcare matters are in place is critical. A trusted individual should be named to handle financial affairs if incapacity occurs. Similarly, a healthcare power of attorney and living will should clearly outline medical preferences including the types of “heroic measures” you want taken as your health fails. This reduces uncertainty for family members and medical providers.

Depending on the circumstances, certain trusts may be beneficial. A revocable living trust can provide continuity in managing assets without the delays of probate. For those with minor children or dependents with special needs, a trust ensures funds are managed responsibly for their care. Irrevocable trusts may also be beneficial, depending on your family’s goals and whether you anticipate needing long-term care.

If nursing home care becomes necessary, proper Medicaid planning can help preserve assets for a spouse or family. While Medicaid rules are complex, strategic planning may allow individuals to qualify for benefits while protecting certain assets from being spent down on care costs.

A terminal diagnosis also presents an opportunity to shape a personal legacy. Whether through charitable giving, a letter of wishes, or recorded messages for loved ones, taking time to plan for these personal aspects can provide lasting comfort and meaning.

While it’s understandable to feel overwhelmed, delaying these important steps can create unnecessary stress later. Consulting an experienced estate planning attorney ensures that legal and financial affairs are in order, providing clarity and confidence in navigating the road ahead. Taking these proactive steps allows individuals to focus on what matters most—cherishing time with loved ones and finding peace in knowing that their affairs are settled.