Estate planning is a subject many individuals aren’t well versed in. Many people don’t want to go through the process of hiring an estate-planning lawyer to develop a plan. Because of this, people often procrastinate and wait last minute to create an estate plan. There are many myths associated with estate planning. Below are FIVE estate-plannings myths that can be easily debunked.
I’m Too Young to Worry about Estate Planning
When a person is young and healthy, they are not thinking about the disbursement of his/her assets. However, estate planning isn’t only about assets. An estate plan also includes nominating a guardian, a durable power of attorney and a health care surrogate designation.
I Don’t Have Enough Assets for Estate Planning
When a person considers his/her assets, he/she often refers to the size of his/her estate. Even though someone may not have a large estate, that doesn’t mean they don’t have important assets that need protecting. A person still needs a a designated person to manage assets, such as photos and personal property, after death.
My Spouse (or Children) Will Get Everything Anyway
This isn’t always the case. For example, if a person gets remarried and doesn’t update his/her will or living trust before passing away, the new spouse won’t receive any assets.
My Family Will “Do the Right Thing”
It is important to have a plan. Although you want everyone to act selflessly and follow the interests of the past loved one, there is always the chance of one person acting selfishly.
I Can Just Use a Form and Write My Own Will
There are different rules for handwritten wills in different states (read out blog “What’s the Deal with Handwritten Wills?”). Also, a proper estate plan doesn’t only involve a will; therefore, a person should still seek council when developing a plan to avoid the expensive, stressful probate process.