As an adult, estate planning is one of the most important processes you can take part in. It ensures that your hard-earned savings go to the right places upon your death. You can also make plans for who will look after your minor children should something happen to you.
Yet, many people opt to put estate planning off. In fact, some studies suggest that nearly 70% of American adults have no estate plan. Why is this the case? Why does estate planning intimidate so many people?
Talking about death feels very depressing
There is no getting away from it, estate planning involves conversations around death. Nonetheless, there is also no getting away from the fact that everybody eventually dies. Estate planning doesn’t have to be morbid and the conversations don’t need to last a long time. The benefits of being organized in this area far outweigh the detriments.
The estate planning process may seem intimidating
There are numerous estate planning tools that serve different purposes. A will is the starting point of any estate plan. In this document, you can decide who will inherit your assets upon your death. Trusts are another important instrument. These can be used in several ways. For instance, a charitable remainder trust can help ensure that a cause close to your heart continues to receive some financial support. The layperson may not know where to start, which is why it’s so important to seek legal guidance on the matter.
Estate planning doesn’t have to be complicated. Finding out more about your options will help to clarify what steps you should take next.