An estate essentially is made up of everything you own. It’s easy to procrastinate when it comes to certain tasks (especially when they’re related to estate planning). But don’t you always feel better when you can check something off your to-do list?
Misconceptions about estate planning can make the process of creating a plan more confusing than it needs to be, so let’s set the record straight.
Here are a few common myths that may be holding you back:
Myth 1: “A basic will is enough.”
Having a will is better than having nothing at all, but you can do better. An advance directive, health care power of attorney and financial power of attorney can help protect you. And in some circumstances, a living trust may be more suitable than a will alone.
Myth 2: “I don’t need to worry about this until later.”
Most people who’ve experienced life-altering events like heart attacks or car accidents will tell you that they never thought it would happen to them. No matter your age, it’s smart to have documents in place to help manage your health and finances.
Myth 3: “Only rich people need an estate plan.”
Even if your only assets are your car and your bank account, you may want to formally document who should receive them if something happened to you (otherwise the state will decide). Pet owners may also want to designate a caregiver for their four-legged family members.
Myth 4: “Setting up an estate plan is a one-time event.”
It’s wise to review your estate plan at least every couple of years or every time a significant life event occurs, such as getting married or divorced or adding a child to your family.
As always, please reach out anytime if you have questions or if you’d like to discuss your insurance needs.