Creating an estate plan is not always easy, especially if you're new to the process. Unfortunately, any mistake can impact you and/or your family now and in the future.
Understanding the most common estate planning mistakes will allow you to avoid trouble. Here are four you should have on your radar:
- Thinking it's okay to not have an estate plan: While the law does not require it, not having an estate plan is a big mistake that could result in serious disagreements after your death.
- Forgetting to review your estate plan: It's one thing to create an estate plan, but another thing entirely to review it regularly to ensure that it still suits you, your family and your short and long term goals.
- Neglecting to plan for disability: There is more to a comprehensive estate plan than outlining who receives your assets when you pass on. Your estate plan should also plan for disability, such as by naming a power of attorney or creating a living trust.
- Neglecting to name a guardian: If you have children under the age of 18, you should name a guardian in your estate plan. This person will takeover your parenting responsibilities should you pass on before your children reach legal age.
While these are among the most common estate planning mistakes, many others can haunt you at some point in your life.
Upon a thorough review of your estate plan, you can make necessary adjustments that will give you and your family peace of mind. Once you do this, you'll feel better about anything the future brings.