5 Reasons Why You Should Absolutely Plan Your Estate

1. You Have an Estate

Everything and anything you own is included in your estate. And if you’re reading this newsletter, chances are is that you have one. Those who have large estates must spend much more time planning because of large taxes and potential legal battles. But even if you have a more modest size net worth, it is still in your best interest– and your beneficiaries’– to plan it out. Families with a smaller estate generally benefit greater because savings on taxes and fees mean more.

2. Court Can be a Mess

Probate is the state’s process of determining who gets what from your will. And going to court for a lengthy probate process can become a real mess. Some families get into drawn out disagreements because of probate. This is the last thing your family wants to go through after your death. Speaking with your financial planner can prevent a mess like this from happening. Having a will which is updated and official will make the probate process quick and easy if there is even one at all. Not to mention save your loved ones time and money.

3. Taxes Can Reap your

Estate of It’s Worth Depending on the size of your estate, taxes can have a big overall effect on its overall net worth. Estate taxes, also known as the death tax, can be hefty. However, there are many tax laws that allow you to minimize the fees. Examine your estate with your financial planner to ensure you are using the many estate tax laws to your advantage.

4. If You Do Not Draft an Estate Plan, Your State Will

If you do not have an intentional plan for your estate, your state will take over the distribution of your assets according to its respective probate laws. The state has laws for different scenarios. If you are disabled and are unable to conduct business, the court (not your family) will decide on how to use your assets to care for you. If you die and do not have an intentional plan for your estate, your state will then distribute your assets based on its law. In most states, your assets become distributed among your spouse and children. While this could be ideal, the problems which ensue afterward could be catastrophic. Drafting an estate plan will ensure your assets will take care of your loved ones after you are gone.

5. Peace of Mind

Planning out your estate is about two things. Security for your loved ones after you are gone and peace of mind in your last years. You’ve worked hard throughout the years building your estate and along the way you’ve come to cherish those closest to you. Planning out your estate is your best way of saying thank you for those close relationships. Furthermore, being able to provide financial security for your loved ones after you are gone may give you peace of mind in your waning years.


Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2017.

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