Many believe that estate planning is purely for the rich. Perhaps it’s the word “estate” that makes people believe that. The reality is, estate planning is for everyone, especially for those that do not consider themselves rich. Because you have fewer assets to begin with, it’s even more critical to protect them for the benefit of your heirs.
Everyone Has an Estate
“Estate” is merely a fancy term referring to your assets and anything else over which you may have control. If you own a home, have a retirement fund, a car, savings accounts, life insurance policies, etc., then you have an estate. Although you may not be rich, by your own definition, the assets in your estate can actually include quite a bit of value.
Do You Care What Happens to Your Assets?
Now comes the important question. If you die, do you care what happens to the assets in your estate? The answer is probably yes. Perhaps you have a spouse, children, or grandchildren that you wish to support. Your support is probably essential because your family is not wealthy. Estate planning is for everyone, regardless of the amount of assets in your name.
Purpose of an Estate Plan – Estate Planning Is For Everyone
An estate plan can accomplish many things, such as:
- Protecting Assets
- Designating Beneficiaries
- Minimizing Estate and Income Taxes
- Avoiding Probate
- Providing Financial Security to Loved Ones
- Supporting Dependents with Special Needs
Clearly, the above goals apply to more than the wealthy. It applies to just about everybody.
Dangers of Not Having an Estate Plan
Not having an estate plan means leaving the decision-making to others. Whether it be other family members or the courts, you will have little to no say in what happens when you die. Furthermore, your estate may be subject to unnecessary taxes, court costs, and the like,.. further diminishing the assets that you worked so hard for your whole life. Estate planning is for everyone because everyone should have a say in what happens to their assets upon their death and everyone should have an opportunity to preserve their assets for loved ones. Schedule a consultation with our team to get started.