Trusts. Living wills. Estate Planning. These are words that strike fear and confusion in many people. Research from the American Bar Association shows that only 19 percent of people who need a will actually have a will.
The reasons for putting off this crucial step vary by the individual, but it can often be due to the fact that the process is viewed as complicated and difficult to understand. Individuals tend to avoid admitting when something is too complicated and as a result, procrastinate when it comes to completing legal processes and documents.
But estate planning and wills are not as complicated as they seem. By taking the "legalese" out of estate planning, anyone can understand it. There are three easy steps that anyone can take to begin planning his or her estate.
1. List your assets. This includes everything you own. That old picture of you with your mother many not seem valuable to you, but it could be the catalyst for a feud if you don't determine who will receive it.
2. Determine your objectives and write them down. This includes everything, from determining who will handle your estate when you die to who will get a treasured collection. Making these decisions now will save your relatives a lot of heartache in determining who will get your belongings.
3. See an attorney. Don't be afraid to shop around for an attorney. And most importantly, don't be afraid to ask an attorney exactly how much it will cost to plan your estate. In the aforementioned book, there are 14 questions you must ask before hiring an estate attorney.
Another consideration is whether or not a will or a trust will be established. There are advantages to a trust that can protect a family's privacy.
If you have a trust, your estate will not have to be probated when you die. This can save families a lot of time dealing with probate courts and a lot of money as well.
Whatever the decision is about how to handle an estate, decisions need to be made before it is too late. Otherwise, the individual and the family risk having someone else decide for them.
What families need to realize is while it does take some work and a good attorney, establishing a plan for how you are going to 'leave it behind' is really not that complicated. Planning now will save families a lot of heartache later.
Copyright (c) 2007 Steve Allen
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