The New Year is finally here. January is a time to begin what you might have been putting off the year before. As you begin to embark on your New Year’s resolutions, consider adding another resolution to your list: creating an estate plan.
According to Forbes, an estate plan is the best gift you can give yourself this year. Consider the five following reasons you should create an estate plan this year:
1. Provide for your beneficiaries: Estate plans ensure the people you love will be taken care of after you pass away. You can also dictate the ages your beneficiaries will receive assets, in order to protect them from spending their inheritances at a young age.
2. Protect your assets: Without an estate plan, a court will divide your assets as it sees fit. While you might think your assets will easily pass on to your partner or children, this is not always the case. Creating an estate plan will help ensure that your assets go where you want them to when you pass away.
3. Avoid probate litigation: Probate litigation occurs when there is a dispute with the dividing of an estate or deceased person’s assets. Generally, this is the most common reason people choose to create an estate plan to prevent their family members from engaging in a legal battle over assets.
4. Reduce taxes: Without an estate plan, your beneficiaries could lose a lot of money to estate taxes. Save the money you worked hard to accumulate by creating an estate plan this year.
5. Alleviate your anxiety: Thinking about creating an estate plan is likely costing you more energy than actually setting up a will or trust. Create an estate plan this year, so you can be anxiety free- of estate planning- next year and the years to come.
Estate plans are especially beneficial for high-income earners and business owners. If you have been holding off creating an estate plan, consult with an experienced estate planning attorney today. Planning for you and your loved ones financial futures might be easier than you think.