Common Estate Planning Myths Debunked
Common misconceptions regarding estate plans might prevent someone from planning for the unexpected. Drafting a will is vital to protect your assets and loved ones, even if you’re young and in good health. You might not think estate planning is necessary. However, it could give you peace of mind if a significant event disrupts your life or cuts it short.
Most people believe they don’t have to create an estate plan until they’re old or develop a terminal disease. Some people don’t realize the benefits until an accident or near-death experience happens in their lives. Others never create a will and pass away unexpectedly, leaving their family struggling to recover their assets.
If you don’t have an estate plan or haven’t updated yours in a while, you should consider contacting Staubus and Randall to take immediate action. Planning for death may seem like a morbid experience but it can help you secure your family’s future. Creating a valid estate plan is particularly crucial if you have kids and want them cared for when you’re gone.
Additionally, estate planning isn’t only about what should happen when you die. You can also outline instructions regarding your healthcare if you become incapacitated and can’t make decisions. With the proper legal documents in place, a trusted family member could step in and speak on your behalf.
Below are some common myths about estate planning you should ignore.
MYTH: An Estate Plan Is Only Necessary for Sick and Old People
A common misconception about estate planning is it doesn’t need to happen unless you’re elderly or have received the diagnosis of a life-threatening illness.
However, anyone could lose their life or suffer a debilitating condition, leaving them without the ability to communicate. If you don’t have legal documents in place to instruct others about your wishes, the people you love could face financial hardships and struggle to make the decisions you want.
The truth is that you’re never too young to create an estate plan. Even if you don’t have assets, you might have a pet or kids. It is essential to leave instructions about who should take care of them if you can’t. Otherwise, your children could end up in foster care, and your pets could get dropped off at a shelter.
Whether you have many or only a few assets, your estate plan can direct how they should be distributed. You can include beneficiaries in your will, so they receive things like your bank account, house, or car when you pass away.
If you have pressing questions, don’t hesitate to reach out to us today.
MYTH: Wealthy Individuals Benefit More from Estate Planning
While wealthy people require estate plans to ensure that their high-value assets stay protected, others need one too. It doesn’t matter if you’re not rich or only have one or two assets in your name. You can’t control who receives the funds in your savings account or personal property if you don’t include it in a will or a trust.
Estate plans can involve more than just money and significant assets. You might have family heirlooms you want to pass down when you’re gone. Creating documentation that specifies who should receive certain items could prevent family disputes. If you don’t inform others of what you want, property can go missing, and family members can take each other to court for possession of what they believe they deserve.
MYTH: Estate Planning Is for Death
An estate plan doesn’t only address matters involving a person’s death. It can also be helpful in situations that occur while someone is still alive. Although you might not worry about the possibility of a traumatic life event, anything can happen.
When you create a will, you can designate an executor or administrator to manage your estate and distribute property according to your wishes upon your death. However, a range of other legal documents can protect your interests if you’re no longer competent.
For example, a medical power of attorney gives someone you appoint the authority to make your healthcare decisions when you’re incapacitated. If you create a financial power of attorney, your designated agent can handle your finances if you’re forced to leave the country for an extended period or end up in the hospital.
You can take additional measures to ensure someone is responsible for managing your children’s needs while you’re incapacitated. You can choose a guardian to assume the role of caregiver and set aside funds they can use for your child’s medical care, education, and basic needs.
Contact Staubus and Randall
Since 1992, the Dallas estate planning lawyers of Staubus and Randall have provided clients with dependable legal services. We know how to create comprehensive estate plans to protect your rights and your family’s future. You can count on our legal team to dedicate the necessary time and resources to plan and execute a valid will and other valuable documents for you.