Having a solid estate plan in place is one of the best things you can do to prepare for the future. However, a lot of people hesitate to get one together.
It doesn’t help that there are all kinds of misconceptions out there about who needs an estate plan, how they should go about creating one and what that really means. Here are a two common misconceptions, along with the facts.
You only need an estate plan if you’re old, sick or wealthy
Even if you’re a minimalist with very few assets, your estate plan can help ensure that precious personal mementos get to the right hands. If you have a minor child, you can also use your will to name a legal guardian to raise them if you die before they become an adult.
Further, you can use your estate plan to create powers of attorney that can put the people of your choosing in charge of your medical decisions and finances if you’re ever incapacitated by accident or illness.
An online will is just as good as any other will
You can run into some major problems with “do-it-yourself” wills that you find online. They may be cheaper than having experienced legal guidance. However, they can end up being declared invalid if they don’t comply with state law or aren’t properly executed. If your DIY plan doesn’t pass muster, your estate could end up tangled in probate for a long time or even in litigation that will ultimately diminish its value and frustrate your heirs.
When you want real security and peace of mind, take the time to learn as much as you can about your legal options. You want to be able to customize your estate plan to your family’s needs and your own.