An Estate Plan is ..... Absolutely Essential!
You’ve heard of the saying; “failure to plan is planning to fail”. This could not be truer than for someone who dies - and the family that is left behind - if you fail to have a solid Estate Plan!
No Estate Plan = significant loss in $$$
Some Texans, those who rely on Do-It-Yourself documents and don’t seek a tailored Estate Plan, assume they already know what they need in order to plan for the future. After all, why seek an attorney if you already know you need a Will and a couple of Powers of Attorney? You just need to “order” them from someone, right? People often go “shopping” for templates on the web and (wrongly) assume that they have gathered all the necessary and useful documents that will protect them and their estate. Piecemeal documents are often inadequate to the task of protecting your assets and enforcing your wishes.
Putting an estate plan in place, one that is specially tailored to you and your family, starts with a comprehensive planning package that takes your wishes, and the potential legal "potholes" into account.
A solid Plan:
- Factors in your family dynamics and relationships
- Appropriately reflects the type of assets you possess
- Survives and helps to manage events of physical or mental incapacity
- Enforces your wishes both before and after your death
- Helps to avoid costly future conflict that could divide your family
An experienced estate planning attorney will know the right questions to ask. He/she will be able to take stock of your situation and competently advise you on selecting and producing the kinds of documents that will best protect you and your estate. Remember, Do-It-Yourself document sources are not equipped to consider all aspects of a strong plan because an experienced Attorney is not there to ask you the right questions.
Without Estate Planning, You Could Invite Costly Conflict
Another problem with Online/Do-it-yourself estate plans is that they can invite future conflict among family members. Without the proper counsel, you could end up inadvertently sending an estate into probate that would not have had to go there, in the first place. You might end up with a document that could fail to hold up in court for lack of proper formalities or an asset that could fail to go to the intended heir due to improper wording.
Many people (wrongly) assume that diseases like dementia, Alzheimer’s, or other diseases won’t affect their Estate Plan in the future. This can be a financially and emotionally devastating assumption. Even though it can be scary to think through the implications of losing your memory or ability to manage your own assets, it is critically important for most families to plan for these possibilities - in advance. A good Estate Planning package will include the right documents so that you can best avoid costly guardianships and designate your representatives and wishes. Have you formally named who should be managing your estate in case of incapacity? Steer away from future conflict potential.
Even If You’ve Done it “Right,” There Could Still be a Fight
Inaction or delay in Estate Planning until after the onset of a serious mental illness (or injury) might result in an objectionable family member managing your finances while you are alive. Wouldn’t you like to protect the private details of your estate from becoming public record after you pass, inviting arguments among your heirs?
Let’s assume you make a Will that is valid in Texas and would hold up in Court against a challenge. Sounds good, right? Unfortunately, even this situation might not be adequate for you if you have family members who don’t get along with you or each other. All too often distant/estranged relatives bring a Will contest. With a challenger getting a single foot in the door in Court, your estate could be exposed to significant costs and expenses as your relatives fight it out, even if the challenger isn’t going to win.
The Potential Cost of NOT Planning!
Have you ever heard of a friend who’s family got into a big argument over who gets what? (“Aunt Ellie said that was to be for me”….) This is how it starts… and from there on it all goes downhill; relationships; health; and value left in the Estate, all are eaten away by jealousy and greed and failure to prepare.
In a Will Contest, attorney fees mount up quickly. We see this almost daily where a Family Settlement Agreement or a Mediation multiplies costs significantly because no one can agree. Thousands of dollars an hour in value are depleted from the Estate because of a failure to see the big picture and plain old personal greed.
Here is a short list of expenses associated with a Court-created post-death estate administration aka - Probate. Hint: these expenses can be avoided when an Estate Plan is in place.
- Expenses associated with the potential freezing of financial accounts, post-death
- If becoming incapacitated, the expense associated with your family having no access to your financial accounts and/or their inability to obtain needed medical and financial records
- Potential for family disputes because your pre-death / post-death wishes are not clearly stated
- Additional expense for selling/transferring personal and real property, post-death
- Costs associated with identifying, searching for, notifying and representing your heirs
Remember
- Do Not go it alone!
- Find an experienced Estate Planning Attorney
- It’s not for you, it's for the Family left behind
- Incomplete or ineffective Plans cost more money in the long run
Make sure your estate is protected and planned for. Contact us today for more information.
“This information is for general educational and informational purposes only. It is not legal advice that may be relied upon and is not meant to be applied by any individual reader to his or her specific situation. We do not intend to form an attorney-client relationship with any individual reader and advise that every reader consults legal counsel regarding his or her individual needs. This firm does not represent you unless and until it is expressly retained for such representation in writing.”
Law Offices of Gregory E. Wilhelm, P.C.
Attorneys and Counselors