By The Vermillion Law Firm LLC
03/07/2015 If everyone took the time to talk to an estate planning lawyer, most of
the common estate planning mistakes around today would disappear. The
reality is, however, that most people never get around to taking estate
planning seriously, much less talk to an expert, so mistakes are common.
Here is a list of some of the more common mistakes people make when
they approach estate planning.
Common Estate Planning Mistakes:
Ignoring Beneficiary Selections
You may want to leave your children an equal inheritance, but
inheritances are about more than just making a will and making sure
everyone is treated equally. Some property doesn’t pass to inheritors
through your last will and testament. Instead, it passes outside of
probate automatically.
One the most important types of this kind of property allows you to
name the beneficiary of your choice. Life insurance policies, retirement
plans, and other transfer-on-death assets let you choose who you want
to inherit the property upon your death. When you choose your
beneficiary for these types of properties, you should do so with your
overall inheritance plan in mind. If you make your inheritance choices
later and forget about these transfer-on-death policies, this can cause a
significant difference in the inheritances you leave.
Making a Plan Without Legal Help
Many people choose to make their own estate planning tools. While
this doesn’t always lead to problems, it can be a serious mistake.
This is most often true because people who use do-it-yourself estate
planning tools don’t take the time to have a lawyer review them. Even
though the legal requirements for creating many estate planning elements
are not especially hard to meet or understand, it’s using these tools
correctly that causes most people to go wrong.
For example, a lot of people want to create their own last will and
testament. There’s nothing wrong with this, and creating a will is not
especially difficult. The problems arise, however, when you create a
document that isn’t suited to your individual needs. There are a lot of
choices that go into creating a will, and creating one that doesn’t fit
your situation is a serious mistake.
Not only that, but an estate plan is comprised of numerous different pieces,
all of which need to fit together like a jigsaw puzzle. If you create
only one piece on your own and fail to create the other pieces that you
need, the estate plan you make can be a huge mess.
Not Making Any Kind of Plan
The single greatest mistake most people make is not to have any kind
of estate plan in place. Yes, estate planning issues are not easy to
think about or talk about. But these problems don’t go away simply by
ignoring them, and being responsible means creating an estate plan.
Our Firm Is Dedicated To Providing You With Quality Estate Planning Resources, So You Can Become Familiar With All Of The Existing Options. When You Visit Or Call Our Office, We Want You To Feel Comfortable Discussing Such An Important Issue Concerning Both You And Your Family. We Want To Ar…
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