You'd be surprised to know how many Americans don't have a will. Various surveys show that about 40 percent of Americans age 55 and over don't have a will or trust. The obvious question is WHY? Why are people avoiding estate planning? Let's take a look at the worst reasons for their delays:
#1 – Estate planning is for the wealthy! I do not own much, can't we put off planning until I can afford it?
This is a common misconception about estate planning – NO, estate planning is not just for the wealthy. And no, you should not put off planning. Giving legal authority to your assets to a person of your choice is critical. For instance, it's very important if you have children, and you become incapacitated following an accident.
If you don't have a will or trust, your children may become wards of the court or may be delivered to a family member you don't like or agree with. There's another disadvantage – a will may cost you less now than it will cost you later. The legal fees are steep, especially if you have many assets or a large family. Talk to an estate planning attorney in Hollywood to learn more about estate planning legal fees.
#2 – My son just graduated from high school; he doesn't own anything; should I worry about an estate plan for him?
Yes, you should. Estate planning is not just about owning assets. Life needs adequate protection, too. For instance, if your child has a motorcycle accident and is over 18, you have no legal authority to decide what medical treatment he or she should receive. The laws are strict, and even parents may not have a say in this situation. What's more, insurance companies might refuse to deal with you. The stress is enormous – your hands will be tied, and you won't be able to help your child.
You can avoid this situation by making out the power of attorney for your child. These are simply legal documents that save you a lot of pain in case something wrong happens. Contact an attorney specialized in estate planning and probate in Hollywood to learn more about the powers of attorney.
#3 – Our children are already married and moved out – can't we postpone planning?
No, you should not postpone estate planning. The reason is simple – you can't predict a disaster. What's more, your children may seem to be in a happy marriage, but there is no telling what can happen in the future. You may see your money and property lost in awful divorce proceedings, lawsuits, and bankruptcies. Keep in mind that things can quickly get out of control, and you may lose important assets in the process. Contact an attorney specialized in estate planning and probate in Hollywood to learn how an estate plan can protect you in case of bankruptcy.
#4 – I already have a will – I did it when I first got married
Having a will is good, but all wills have to be reviewed periodically. Your life circumstances change, new assets are bought, old assets are sold, relationships change, and children are born. This can happen in just a few years, and they have to be included in your will. An older will may be perfectly valid, but it should be updated frequently in order to make it comprehensive. Try to review and update the will every three years to determine its applicability and validity. Old wills may be good, but they may not include your latest preferences or intentions, so they can cause additional problems for your family.
#5 – My spouse gets everything anyway
This may be true, in case you predecease your wife. But what happens if your spouse dies first or you both die at the same time (for example in an accident)? What happens to your children in this case? What happens to your assets? These are all questions you have to think about. Keep in mind that assets that are not jointly owned will not automatically go to your spouse. The Succession Act determines who actually gets your assets if you die. Similarly, if you have children The laws are complex and the whole process is very time-consuming. Contact an attorney specialized in estate planning and probate in Hollywood to n, the spouse is not entitled to your assets.learn more about avoiding these legal issues.
#6 – Wills are simply too expensive for me
Most estate planning attorneys in Hollywood have a fixed price for wills. The legal fee does not vary due to the size of your estate or the number of assets you own. However, will’s do get more expensive depending on the complexity of your affairs. Although will’s come with an initial cost that you have to pay, they are far cheaper than the application for a grant of administration following your death. A will is quite cheap, and it works as a legal insurance policy. It guarantees that your assets go to the persons you want, in the circumstances you state in the will.
#7 – I don't want to think about my death; I am too young for that
This is a difficult argument to counteract. Unfortunately, death is a fact and comes to all of us, regardless of what we expect or believe. Similarly, we don't know when our time may come. A good estate plan offers protection for this unfortunate event. It creates a sense of safety and security for the period following your death. You know that your assets are distributed.
according to your wishes in a cost-effective, timely manner. Obviously, everyone has different attitudes towards death, but preparation for this event should be your priority, no matter how young you are. Talk to an estate planning attorney in Hollywood to learn more about the benefits of having a will.
Comments
Post a Comment