the chaotic life

Imagine the trouble your spouse and children will have if you die or even if you only become incapacitated. Your loved ones will scour every drawer, all the dusty boxes in the attic, would rummage in your safety deposit box hoping to find documents. They do not even have a way of knowing whether the documents they will find are complete and important. This is what will happen if you do not have an estate plan.

Dying intestate will mean that the courts will decide who will inherit your assets. The court will appoint an administrator who will administer and oversee your assets. Your children will have to accept whoever was appointed by the court to be their guardian if both you and your spouse die simultaneously. An estate plan will ensure that the children will at least have a guardian that you yourself have chosen, someone who will love and take care of your kids just like you do.

A lot of people think that an estate plan is one for those who have a lot of assets and that the absence of a will would cause the beneficiaries to fight with each other in court. But did you ever realize that the less you have the more you need to have an estate plan. Without an estate plan your meager properties will not go to the family, instead it will be swallowed by taxes. If this happens your loved ones will not benefit from the fruits of your hard work. The situation will become more complicated if you have children from a first marriage. Your second wife may get all your assets. Your children will get nothing! Think how this will affect them especially if they are minors.

This will sound pretty callous but even if you have drawn a will, it will not be executed as long as you are alive. What would happen if you are left totally incapacitated due to an accident or a stroke? It is a false notion that a marriage license will give your wife access to your bank account and to all your other assets. All your assets will be frozen. Your spouse may not even be able to sell your house to pay for your medical expenses.

If you have made an estate plan and you have given someone a Durable Power of Attorney, that person will take your place and manage your finances. Your estate plan may also include a “Do Not Resuscitate” instruction. This will instruct the doctors to shut off your life support if your are already brain dead. Your family will certainly not give the go signal even if they are raking in huge medical bills.

Seventy percent of Americans do not have estate plans. It is hoped that this article will sway you from joining their ranks. With a carefully drawn estate plan, you will be able to safeguard the future of your loved ones, the savings you will have on taxes will be enjoyed by family and you will be able to bequeath the property to whomever you want. Don’t drag your feet in preparing an estate plan. Act now while you still can!