Each estate plan has its weaknesses, but the best ones take their shortcomings into consideration. The less well-written estate plans leave substantial weaknesses that can jeopardize the outcome of a person’s estate. The following reviews some of the most common estate planning errors that people made in 2019 as well as reviews what you can do to avoid making them.
# 1 – Naming Yourself as a Sole Trustee
There are legitimate reasons why people are often instructed to name someone other than the trust’s creator as a trustee. Each year, many estate plans end up susceptible to unjust influence because a person becomes incapacitated and surrounding loved ones have less than noble motivations. One of the best ways to make sure that your trust is fairly administered is to name someone capable of responsibly acting as a trustee.
# 2 – Receiving the Wrong Advice (or None at All)
One of the best places to begin creating an estate plan is by considering who you can utilize to best achieve your goals. Estate planning teams should often include elder law attorneys as well as financial advisors who can make sure that you make the best financial actions. When receiving advice from these parties, you should be aware that not all advice was born the same. There are many “trust mills” and other less than reputable estate planning companies who offer advice that will allow the company to gain more money and which can harm the recipient’s estate. Be aware that some people will scam or sell you unnecessary services when creating an estate plan. As a result, it is vital to surround yourself with the more reliable estate planning experts who can help achieve your goals.
# 3 – Losing Track of Your Assets
Not all assets are properly accounted for in every estate plan. Some retirement accounts and life insurance plans have their own terms and designated beneficiaries, which can make them easier to stop tracking. In these situations, it is common for some people to forget to update these critical estate planning documents. If you plan on updating your estate plans, you should make sure to take any account that you have into consideration.
# 4 – Not Understanding Estate Laws
Estate planning is a complex area of law, which is why it takes years for lawyers to master this nuanced field. Failure to understand estate planning terms or concepts can lead to people not achieving their estate planning goals. Without fully understanding estate planning issues, a person’s estate can end up experiencing various obstacles. While it is sometimes possible to navigate matters on your own, retaining the assistance of an estate planning attorney is one of the best ways to make sure that you avoid the risk of not understanding estate planning nuances.
Speak with an Experienced Estate Planning Lawyer
When estate planning is involved, many people are prone to falling into the trap of doing merely what they think they should be doing. It is important to remember that there is no universal solution to estate planning. It can help to contact a knowledgeable attorney who can view your available estate planning options. Speak with attorney Jim A Lyon today to schedule a free case evaluation.