5 mistakes to avoid when creating your estate plan

5 mistakes to avoid when creating your estate plan

Estate planning is a great way to ensure that your family, other loved ones and business will be okay if you happen to pass away. Here are some common mistakes you want to avoid when putting together an estate plan in southern Maryland.

Waiting too long

The biggest mistake that many people make when it comes to estate planning is that they wait too long to complete their estate plan. They think that they have more time or that it’s something that they can do when they are older, but you never know when your last day on Earth could be. You shouldn’t put something like this off for too long; the sooner you put together your estate plan, the better.

Forgetting to talk to your family and friends

Another mistake people make is that they forget to discuss their estate plan with their friends and family. If you are planning on listing family members as beneficiaries or giving a friend a power of attorney, you should discuss it with them beforehand instead of just designating them in your will. Perhaps they don’t think they are fit for the task that you are giving them, or maybe they simply don’t want to get included in your estate plan.

Not updating it after major life events

Your estate plan is something that needs to be constantly evolving throughout your lifetime. After major life events such as the birth of your child, marriage, divorce, a death in the family or a sudden inheritance, you need to update your estate plan.

Not updating your estate plan after major events can lead to awkward and unwanted situations. For example, if you had your spouse as a major beneficiary but later get a divorce, you’re probably not going to want your ex to receive a huge chunk of your money and assets.

Everyone needs an estate plan to help ensure that their loved ones get taken care of after they pass away. You may think you have a lot of time before you will need one, but it’s always better to prepare for the worst instead of hoping that you will have more time.