Estate planning is an important aspect of protecting your assets and ensuring that your loved ones are taken care of after you pass away. However, estate planning can be a complex process, and it’s easy to make mistakes if you’re not familiar with the laws and regulations that govern it. In this blog post, we’ll discuss the three biggest estate planning mistakes that people make and how to avoid them.
- Not Having a Will
One of the biggest mistakes that people make when it comes to estate planning is not having a will. A will is a legal document that outlines how you want your assets to be distributed after you pass away. Without a will, your assets will be distributed according to state laws, which may not align with your wishes. Additionally, if you have minor children, a will can also provide for their care and welfare by appointing a guardian. To avoid this mistake, make sure that you have a will in place and keep it updated as your circumstances change. It’s also a good idea to review your will every few years to ensure that it still reflects your current wishes.
- Not Having a a Plan When You Have a Blended Family
Blended families are a blessing for everyone in them, but they can make legal issues such as estate planning more complex. Texas does not have different probate laws for blended families, so it is even more important to create a formal plan while you still can. Without proper planning in place to address all the members of your blended family, Texas law will apply, and your final wishes may not be fulfilled.
- Not Reviewing Beneficiary Designations
Many people make the mistake of not reviewing their beneficiary designations on their retirement accounts and insurance policies. Beneficiary designations are the legal documents that specify who will receive the benefits of these accounts in the event of your death. If these documents are not updated, the benefits may not go to the people you intended.
To avoid this mistake, make sure that you review your beneficiary designations regularly and update them as needed. You should also make sure that your loved ones are aware of these designations and where they can find them in case something happens to you.
Taking the time to do estate planning is an important aspect of protecting your assets and ensuring that your loved ones are taken care of after you pass away. However, estate planning can be a complex process, and it’s easy to make mistakes if you’re not familiar with the laws and regulations that govern it. By avoiding the three biggest estate planning mistakes that people make, you can ensure that your assets are distributed according to your wishes and that your loved ones are taken care of. Make sure you have a will in place, plan for all members of your blended family, and review your beneficiary designations.
Don’t risk unnecessary pains associated with being either poorly prepared or completely unprepared. We can help add to the peace of mind that’s worth the time. Contact us now to schedule your free estate planning consultation by either calling 866-566-9529 or by using our booking form below. Appointments are available by phone, in-office, or by virtual appointment online. Your choice; you’ll be glad you did.