3 myths we tell ourselves about estate planning

| Mar 9, 2020 | Estate planning |

 

Estate planning isn’t the most fun to think about because it means you have to face the reality that one day, you’ll need to use it. Even though it’s tough to face death, it’s a part of life. Estate planning follows those rules as well: it’s a part of life.

Estate planning gives you the opportunity to ensure that your loved ones will be taken care of in case of your death. It solidifies your wishes. It also helps answer important questions when you cannot, like healthcare decisions.

As humans, our minds trick us into feeling okay about our denial. Because estate planning isn’t something many people look forward to, myths arise to ease our minds.

  1. I’m too young to draw up an estate plan.

It may seem like you have all the time in the world if you have just entered the workforce or have young children. However, an unfortunate part of life is that you never know how much time you have left. Putting together a few guidelines can help your family if any unexpected events were to happen. It’s never too early to make a plan for yourself.

  1. I don’t have enough assets to require an estate plan.

No matter how much or how little money you have, creating an estate plan is always a good idea. It allows you to have control of your property and assets after your death. This includes very personal items, like family heirlooms, that you wouldn’t want anyone outside of your family to receive.

Failing to create an estate plan means you will also have no say in who divides your assets. An estate plan will make sure that your belongings go to the people you specify. Even if you don’t have a lot of assets, make sure that the items you want to salvage go to the people close to you.

  1. Once I draw up an estate plan, it can never be changed.

Just as aspects of your life change, your estate plan can too. Fluctuations in income and assets or a change of family dynamics can dramatically impact your estate plan. Keeping your estate plan up to date can only help you in the future. For example, if you named someone a beneficiary and they pass away, you must appoint another person as your beneficiary.

On the flip side, you don’t need to adjust your estate plan all the time. You should update your estate plan after major life milestones and review it for accuracy every three to five years

Myths about estate planning can make the process scarier than it is. Drawing up an estate plan is practical idea for anyone at any point in their life. Although it’s hard to think about the end of your life, having a plan can ease your family’s stress after you’re gone.