5 Estate Planning Mistakes St. Louis Families Make (and How to Avoid Them)
If you have decided to create an estate plan, you are already on the right track when it comes to preparing for the future. However, it is of the utmost importance to take the time to do things right. Do not jeopardize the future of your family or fortune by making common estate planning mistakes. Instead, hire an estate planning lawyer in St. Louis and familiarize yourself with potential errors to help you safeguard your estate.
Waiting Too Long
It is normal to think you have all the time in the world to create your estate plan. No matter your age or health status, however, it’s never too early to start estate planning. Procrastinating could put your estate at risk, as you cannot tell when it will be too late.
If you unexpectedly die or become incapacitated without up-to-date estate planning documents, your family will have to go through probate estate administration. This is a court process used to distribute an individual’s assets to heirs and beneficiaries.
What the court decides on your behalf may not be anything close to the plans you had for your estate and loved ones. Unfortunately, without an estate plan in place, you won’t have any say in the administration of your estate and hard-earned assets.
Having an Unofficial Estate Plan
You do not want a “DIY” estate plan. While you may think writing your own will and handling other legal matters yourself will save money, it can actually cost you big in the future. You may forget essential documents or make errors that invalidate parts – or all – of your estate plan. Work with a qualified estate planning attorney in St. Louis for a comprehensive and airtight plan.
Choosing the Wrong Executor
Who you select as the executor or administrator of your estate (or a trustee) should not just be a personal choice. You may want to choose someone close to you, but this might not be the best person for the position. Avoid selecting someone who may not be able to handle the responsibility. Ideally, your executor will be someone who wants this responsibility and is prepared to dedicate the time and attention it will need.
Not Communicating
An estate plan should not be a family secret. Everyone included in the estate plan and those who will be affected by the plan upon your death or incapacitation should be informed. Have open conversations with your family members during the planning process to make sure everyone knows what to expect, what your wishes are and what their responsibilities will be when the time comes.
It is also important to communicate where your estate planning documents are located. An estate plan will only be implemented if it can be found and accessed. Keeping your documents in a secure place is smart, but you should not make them too difficult to find or retrieve. It is wise to share copies of your estate plan with your attorney, a trusted family member and the executor of your estate.
Forgetting to Update the Estate Plan
An estate plan is not a one-and-done procedure. You need to take the time to update your estate plan as your situation, finances and family change. As members of your family marry, divorce and have children, for example, this could change your list of beneficiaries. Update your estate plan after any major life or asset changes. Otherwise, check in with your estate planning lawyer every three to five years to make sure your documents are up to date. Contact us today.