Falling ill or dying without an estate plan could be a financial disaster for you and your family. That is the last thing you need on top of the personal pain such a situation would bring.
A recent report from Caring.com found that 77% percent of people in the United States do not have any estate planning documents in place. The top two reasons people gave were not having gotten around to it or thinking they did not own enough to need one. First, with the right help, making one will not take long. Second, everyone can benefit from an estate plan, regardless of how little they own.
Estate planning cares for later life, not just death
Many people focus on their children when estate planning. They devote all their energy to what they will leave when they die. Yet, if you fail to have proper measures in place to look after you if you fall ill and need long-term care, you may have nothing left to give. Working out how to access health care without draining your resources is crucial.
An out of date estate plan will not serve you well
The tax laws that affect estate planning are not static. Exemption and allowances can change, and the government may choose to close loopholes. If your estate plan is out of date, it could cost you in two ways. First, the money you thought was safe from taxation may now be subject to tax or a higher rate. Second, you may miss new opportunities that could benefit you.
Estate planning is not straightforward. Getting help to understand more about the various options available and the various situations you need to plan for will be crucial to ensure your estate plan is fit for your purposes. You cannot predict the future, but you can plan for it.