Do you think an estate plan is meant for people who are retired or elderly? Most people never think about creating an estate plan because either they aren’t old enough, don’t have enough assets or simply do not think about it. Ignoring estate planning simply because you think you have plenty of time left to plan isn’t the right thing to do. Life is unpredictable and what if the worst happens and one passes away unexpectedly? What will happen to the assets when you’re no more? No matter how old or wealthy you are, everyone needs an estate plan that consists of assets like your car, home, real estate, bank accounts, investments, liabilities and all other precious personal possessions. Now you may think of writing your estate plan with the help of easily available do-it-yourself templates online. But is it the right thing to do?
It is easy and economical to use online resources for creating wills, trusts, health care directives, and powers of attorney. However, drafting your own estate plan is not recommended by experts, if you want to ensure that your wishes will be honored upon death. It is even more important to hire a professional for estate planning if you have assets in both the United States and Canada, or hold dual citizenship. Creating or updating an estate plan by a professional is the best way to ensure appropriate distribution of assets. If you’re serious about the assets and future of your loved ones, make sure you hire a professional estate planning attorney for this task. Only an estate planning attorney can create a proper estate plan that can include the name of a guardian for minor children, ways to minimize court costs for loved ones, care instructions if you become disabled, and other potential situations that a qualified cross-border estate planning attorney would ensure to go through.
Create & Update a Legal Estate Plan
An estate plan is much more than just a will. Estate planning is a continuous process which means the document should be updated as your life changes. Whether you buy a new property, make an investment, or have grandchildren, make sure every change is reflected in your estate plan. Only a professional estate planning attorney can address all the components and complexities of your estate to mitigate disputes during probate. Your attorney can also make necessary changes to your will, trusts, and other estate planning documents as your financial situation changes. Only attorneys understand the complexities of law which helps them draft an estate plan that suits your needs while remaining compliant with the state or provincial law.
Reduce Estate Tax
The purpose of your estate plan is to ensure that your hard-earned money and assets go to your loved ones. However, the estate tax is something that your beneficiaries have to deal with. Depending on the size of your estate, taxes and legal fees can cost a significant amount of money. But if you have an attorney by your side, this professional can formulate strategies to reduce the tax burden for your loved ones. Minimizing the tax burden means more of your money stays within the family.
Financial Security for Minors
With a do-it-yourself approach to estate planning, there is a risk of errors and mistakes. If not carefully drafted, your will may not address your specific concerns. For instance, your minor children (below 18 years) can’t immediately inherit your property if you pass away. If your spouse is alive, your property and assets will go to the spouse and adult children. If you want to ensure that your minor kids are properly taken care of, you need to appoint a guardian or leave assets in trusts for them. An attorney can help you draft a legal estate plan that ensures your minor children receive proper care and can claim the inheritance when the time comes.