Raising young families and enjoying grandchildren during retirement brings time for fun, and Halloween is the perfect season to celebrate with friends, family, and even a bit of mischief. But while we’re planning costumes and trick-or-treat routes, there’s one thing that can truly give you chills: a neglected estate plan. Let’s look at four terrifying estate planning missteps that could haunt your family—and how working with a St. Louis estate planning attorney can help you avoid them.
1. Ignoring Your Estate Plan for Years
Imagine discovering a hidden spellbook from years ago. You might wonder if its power has faded or if it’s even relevant. The same goes for your estate plan. If it hasn’t been reviewed in the past three to five years, it might be outdated, which can lead to significant tax burdens or missed planning opportunities. Estate tax laws and retirement rules change frequently, and an outdated plan may not achieve the goals you had in mind.
2. The Horror of No Estate Plan
Forgetting to create an estate plan is scarier than a haunted house! If you don’t have essential documents like a Last Will and Testament, Power of Attorney, Healthcare Power of Attorney, and Living Will, your family may face serious challenges:
- Healthcare Decisions: Without a Healthcare Power of Attorney, your family may struggle to get information about your medical care if you become incapacitated.
- Financial Access Issues: If you’re incapacitated without a Power of Attorney, your spouse or loved ones may be unable to access accounts to pay critical bills.
- End-of-Life Decisions: Without a Living Will, your family will have to guess at your end-of-life wishes, which could lead to lasting guilt and family disputes.
Take action before these issues arise, so your family doesn’t have to navigate the unknown alone.
3. No Will—Leaving It to Chance
Without a valid will, your assets will be distributed according to Missouri law, not your personal wishes. Missouri’s intestate laws might split your assets in ways you wouldn’t have chosen. For example:
- For Married Couples: Missouri laws may not automatically grant your spouse 100% of your assets, potentially creating financial stress.
- For Complex Families: If you have children from previous relationships, an intestate distribution can be especially challenging, with possible family disputes over inheritance.
By creating a will, you ensure your assets go to those you love and protect your loved ones from unnecessary stress and uncertainty.
4. Unprepared for Unique Family Situations
Family dynamics aren’t always picture-perfect. Maybe you have children with unique needs, strained relationships, or heirs who aren’t the best with money. Without a customized estate plan, assets might be at risk of being squandered or lost in legal conflicts. Trusts are a powerful tool here, as they can:
- Protect Inheritances: Trusts can control how and when funds are distributed, helping protect assets from irresponsible spending.
- Avoid Probate: Trusts bypass probate, saving time and avoiding public exposure of family matters.
Why the Fright? Estate Planning is the Fix!
These estate planning issues are real but entirely preventable. The good news? You can secure your family’s future with a well-crafted estate plan that ensures your wishes are honored. At The Fitzgerald Firm, we provide comprehensive estate planning for St. Louis families and offer tailored solutions to meet your unique needs. Schedule a call with our estate planning attorneys today to experience peace of mind. Then, go back to celebrating Halloween, knowing your family’s future is protected.