Coming up with a great estate plan that sets your family and loved ones up financially should always be a priority. There are plenty of people that wait until their kids are in college, their grandkids are born, or they are retiring to handle their estate planning. The truth is that you can never start your estate plan too early. Unfortunately, there are plenty of people that don’t really understand the importance of estate planning. It’s easy for myths and misinformation to get spread around by people who aren’t familiar with the process. That’s why we’ve put together the following article that details some of the most common estate planning myths. Keep reading on below to learn more.
1. Estate Plans Are a One-Time Thing
Lots of people think that after they create their initial estate plan, they are good for the rest of their life. This is not the case, as your estate plan should be updated for big life events like marriage, divorce, and changes in financial circumstances. Keeping your estate plan updated means you will always ensure that your last wishes are upheld. Make sure you have a great attorney like those at Derryberry & Associates LLP to help you keep your estate plan up to date and accurate.
2. Only Wealthy People Need an Estate Plan
Another common estate planning myth you might have heard before is that only wealthy people need an estate plan. This is totally false, as everyone should have a plan for what will occur in the event of mental incapacity or health issues. Even if you don’t consider yourself wealthy, you likely still have assets that should be included in an estate plan so that you can make sure your family gets what you want them to. Estate planning is important for everyone, particularly as you get older.
3. Dying Without a Will Means the State Takes Your Assets
One of the most common misconceptions of estate planning is that if you die without a will, the state will gain control of your assets. Each state is different in terms of this scenario, but your assets will often go to your spouse or next of kin if you pass away without a will. However, it can take quite a long time for the state to distribute your assets if you don’t have an estate plan. That’s why you should invest the time and money to create an estate plan with an estate planning lawyer.
4. Drafting My Own Will is Easy
The last estate planning myth we will be debunking is that drafting your own will is easy and straightforward. This is certainly not the case, as it’s very easy to miss out on important legal details and contractual aspects if you aren’t a professional. Simple mistakes can end up costing you and your family a lot of money if you aren’t careful. Hiring a great attorney from Derryberry & Associates LLP to help you out with your estate planning is always worth the investment.