Many people don’t have a will or any other estate planning documents. Some people procrastinate because they haven’t finished having children or want to wait until after they buy a house. Others convince themselves that they don’t need an estate plan at all. They aren’t particularly wealthy, so they don’t think that they need to invest the time and money in the creation of an estate plan.
The reality is that the vast majority of adults derive a degree of protection from estate planning. There are many reasons why working-class and middle-class adults may want to put together an estate plan even if they don’t have hundreds of thousands of dollars in assets.
For personal protection
Estate plans help address the practical concerns after the testator who drafted the documents dies. However, many estate plans also include documents that can take effect while they are still alive. For example, powers of attorney can protect people from challenging situations if they become incapacitated. They can name people to pay their bills, run their business, or make medical choices on their behalf.
An advance directive gives the testator an opportunity to explain their medical wishes so there isn’t any confusion about their preferences if they should be in a terminal condition or state of permanent unconsciousness. Many people enjoy peace of mind after establishing advance directives and powers of attorney because they know they have support and that their families can have it too if an emergency arises.
For family protection
Wills and other documents that take effect after death are beneficial for the entire family. When there are minor children or dependents who have special needs in the family, the testator may need to choose someone to act as a guardian for their children. That decision is important regardless of what assets they own.
Testators also have to consider how their passing could affect family dynamics. Even if they only have a limited amount of personal property, their loved ones may end up fighting over those resources. If they take their disagreements to probate court, the litigation that occurs could completely consume the assets owned by the deceased.
The assets that comprise the estate could also be at risk due to creditor claims or Medicaid estate recovery efforts. The process of establishing an estate plan gives the testator an opportunity to plan a legacy and protect their loved ones from vulnerability and conflict, not to mention taxes.
People in all sorts of circumstances benefit from creating estate plans. Wills, powers of attorney and other estate planning instruments provide protection for those who draft them and the people closest to them. Contact an experienced estate planning attorney to help you today. Peace of mind is closer than you think.