People often put off the idea of estate planning. Some of this is due to not wanting to face their own mortality, but other reasons include age and assets. You may think estate planning is good, but it is best to wait until you retire. You may also think that you don’t have enough assets to consider estate planning. However, it doesn’t take much wealth to create a need for a will, and as far as age, no one knows when they will die. The following are several reasons you should have an estate plan.
Your wealth may not be distributed according to your wishes
Without estate planning, there is no guarantee that your heirs will get the assets you wanted them to have. In the absence of a will, it is a judge who will make the determination of which relative gets a share of your wealth and how much. It is often true that only relatives will share in this inheritance, so those you wanted to leave assets to but are not part of your family will get nothing. Estate planning can prevent this.
Avoiding probate problems
Any time someone dies with a certain minimum amount of assets, these assets must move through a probate court. Assets must be transferred legally, taxes and creditors paid. In general, all outstanding issues must be settled. However, there are ways to avoid the probate courts, and estate planning is the key to doing so. The probate process can delay the time it takes for your heirs to get the assets you wanted them to have. In some situations, this may lead to hardship for your heirs.
An important part of estate planning is the tax implications. Not only for your wealth today, but the amount that your heirs will receive. Taxes can take a huge part of the money that you wanted a loved one to have. However, there are tax strategies that you can implement today to reduce the tax burden in the future. One example of this is a living trust.
Your first step in estate planning comes from getting a consultation from a firm that focuses on this type of law. One example of this is the Carole Callaghan Law firm. In addition, a Texas Online Estate Plan can be done on the Internet. The online option is perfect for those with fewer assets, simple family structures or finances that are not complex