Every person has an estate. In fact, your estate is everything that you own – your home, your car, insurance, bank accounts, possessions and furniture.
No matter how much, everyone owns something and everyone has on thing in common – you cannot take your estate with you when you die.
How Estate Works
Many people underestimate the importance of estate planning simply because it looks like the existence of estate can do the job itself.
However, even though you may have legal documents that express your will, it may not be enough. A judge has to transfer money and property to the accounts of the beneficiaries from the accounts of the decedent.
The procedure is called probate, and it allows relatives to contest your will. Besides, a judge can misinterpret your wishes. These are the common situations when estate is tied up in the court for many years.
Moreover, probate is not a free procedure and can cost thousands of dollars. There are court fees, attorney fees, and many other fees that heirs will have to pay.
A will also cannot solve a problem with estate taxes.
Why Estate Planning Is For Everyone
Estate planning is not just for wealthy people. Without a plan, relatives can spend a lot of time and money battling over your estate.
One way to solve the problem is to establish a trust that gives a trustee the authority to distribute estate based on the trust.
No fees, no courts and no probates are necessary in this case. However, a trust is not for everyone, so it is better to consult with a specialist to receive professional advice.
Even though many people think that estate planning is for retired people and it is more common to think about estate when we get older, we should start planning as early as we can.
It is impossible to predict our longevity, and accidents and illness can happen to everyone.
Moreover, good estate planning is more important to people with modest assets because they cannot afford to lose them or pay fees. As you can see, estate planning is really for everyone.
The Best Time to Plan Your Estate Is Now
No one wants to think about the time when we will die and the possibility of being dependent on others.
However, it is possible that we will not be able to make decisions ourselves. And this is when so many families struggle because they are not prepared when death or incapacity comes.
That is why you should not wait. You can have an estate plan now and change it later if necessary.
The Best Benefit of Having The Estate Plan In Check Is The Peace Of Mind
Knowing that you have prepared a plan – the one that has instructions and can protect your relatives – will give you piece of mind. It is also important to incorporate your estate plan with all of the other branches of your finances such as financial, tax, insurance, etc…
Here’s Your Next Step…
Contact Calvert Investment Counsel now to consult with a professional and we can help you incorporate your financial plan with your estate plan. We also work with estate planning professionals and can recommend one if you do not already have one.