Almost everyone has assets to pass on. You don’t have to be rich to think about how you will transfer those assets to your children. Estate planning also gives you the chance to think about medical decisions, long-term care needs, and other health-related issues. These can apply even to those who have very few assets, so a plan is valuable no matter what.
At the same time, though, most Americans don’t have an estate plan. Why is it that everyone does not have a plan if it’s clear that nearly everyone needs one? What is the disconnect?
Many individuals put off estate planning for later in life
Much of the time, individuals don’t engage in estate planning due to sheer procrastination. People claim that they’re waiting until they’re older to make a plan. They still want to have one, and they understand why it’s valuable, but it’s not a priority for them.
Many individuals don’t know how to begin estate planning
People often say that they’d like to have an estate plan, but they have no idea what they need to do to start drafting one. They also don’t know where to turn to for help. These individuals’ attempts at taking estate planning into their own hands often gives way to many problems, including invalid wills. In this case, they don’t need to be convinced to make a plan; they just need to be guided.
Individuals delay estate planning due to their limited assets
As noted above, even those with few assets need an estate plan, but this is not how everyone looks at it. Many people have no plan simply because they don’t know why it can be helpful to have one — as is the case with picking a guardian for your kids, planning for medical care, etc.
If you haven’t made your plan yet, take the time to look into the legal steps you’ll need to take. It’s not as hard as you may believe.