Do I have to be rich to need an estate plan?
No, you don’t have to be rich to need an estate plan! While it’s true that high-net-worth individuals often have more complex estates, having an estate plan is important for anyone who wants to ensure their wishes are carried out, no matter the size of their assets. Here’s why:
Guardianship for Minor Children: If you have children, an estate plan is crucial for designating guardians in the event of your death. Without a plan, a court may decide who takes care of your kids, which might not align with your wishes.
Avoiding Probate: Even if you don’t have a large estate, you may still want to avoid the lengthy and sometimes expensive probate process. A basic will or trust can help your loved ones avoid court proceedings and manage your estate smoothly.
Medical and Financial Decisions: An estate plan allows you to designate a power of attorney (POA) for both medical and financial matters. If you become incapacitated, this person can make decisions on your behalf, preventing confusion or conflicts among family members.
Protecting Your Assets: Even if your estate isn't enormous, an estate plan can help protect what you have. A will or trust can ensure your assets go to the people or causes you care about, without legal delays or complications.
Peace of Mind: Having an estate plan brings peace of mind, knowing that you have control over your legacy. It ensures that your wishes are known and can prevent disputes among family members.
Beneficiary Designations: Certain accounts, like life insurance policies and retirement accounts, often pass outside of a will. Having the right beneficiaries named in those documents ensures that your wishes are followed, whether your estate is large or small.
Affordable Options: Estate planning doesn’t have to be expensive. Many people with modest estates can benefit from basic wills, powers of attorney, or living trusts. While more complex plans may be needed as your wealth increases, basic planning is still important for everyone.
So, whether you're just starting out in your career or you're nearing retirement, an estate plan helps ensure your wishes are honored and that your loved ones are taken care of—regardless of the size of your estate. To get started, book a Peace of Mind Planning Session with a Bergman & Lee attorney. You’ll share your concerns, and we’ll present your options, our packages, and our unique flat fees. Then, if we decide we are a good fit to work together, we’ll take next steps. You can book your Peace of Mind Planning Session HERE. Mention this blog and we’ll waive the $450 session fee!
