October is Estate Planning Awareness Month, and we at Sechler Law Firm are excited to share essential insights about estate planning. Too many Americans lack a proper plan for their future, which can lead to unnecessary stress for families down the line. Let’s dive into 15 key points that can help you make informed decisions about your estate plan.
1. Estate Planning is About More Than Death
Many people shy away from estate planning because they don’t want to think about death. However, it also addresses who will raise your children or handle your affairs if you become incapacitated. Estate planning is about life as much as it is about death.
2. Protect Your Loved Ones and Lifestyle
Estate planning ensures that your loved ones are cared for if something happens to you. It’s not just about transferring assets after death but also securing your retirement and preparing for potential illness.
3. Estate Planning is for Everyone
You don’t need to be wealthy to benefit from an estate plan. It ensures the right people are in place to make decisions for you, and it allows you to set guidelines for how your loved ones inherit assets.
4. It’s Not Just About Taxes
While tax planning is part of estate planning, it’s not the primary focus. More important is structuring your assets to provide support and protection for your family, like putting safeguards in place for young beneficiaries.
5. Most People Don’t Have a Plan
Shockingly, two-thirds of American adults don’t have any estate plan. At Sechler Law Firm, we emphasize comprehensive plans, often using trusts to provide added protection and control over assets.
6. Trusts Offer Powerful Protections
A trust can be a critical tool for families with young children or those planning for long-term care. Trusts allow you to set conditions on when and how assets are distributed, protecting against premature access or nursing home expenses.
7. Most Plans Fail Without Proper Funding
Even with a solid trust in place, many plans fail because assets are not properly transferred into the trust. At Sechler Law Firm, we offer ongoing support to ensure your trust works as intended, avoiding unnecessary probate or delays.
8. Power of Attorney is Essential for Everyone
Once you turn 18, having a Power of Attorney (POA) is crucial. Life is unpredictable, and if an accident or illness leaves you unable to make decisions, your POA ensures someone you trust can handle your financial and medical matters.
9. A Will Isn’t the Most Important Document
While a will is part of estate planning, it’s not always the most critical document. Beneficiary designations often bypass the will, and a properly structured plan with a trust and POA can offer better protection for your assets and loved ones.
10. Estate Planning Preserves Memories and Values
Estate planning is not just about distributing money. It’s also an opportunity to preserve your legacy by capturing your stories, values, and life lessons for future generations. This emotional legacy is often more cherished than any financial inheritance.
11. Avoid Putting Assets in Your Kids’ Names
Transferring your home or savings to your children may seem like a good strategy for avoiding taxes or long-term care costs, but it can backfire. Their financial troubles or life changes could expose your assets to risk. A safer option is to use an asset protection trust.
12. Beneficiary Designations Aren’t Enough
Beneficiary designations only address who gets your money, but they don’t provide guidance on when or how that money is distributed. Using a trust alongside beneficiary designations allows for more control, ensuring your loved ones are supported appropriately.
13. Estate Planning is an Ongoing Process
Your estate plan isn’t a one-time task. Life changes, and so should your plan. At Sechler Law Firm, our Red Wagon Club provides ongoing support to keep your estate plan up to date and in line with your current needs.
14. An Asset Protection Trust Can Protect Your Home
For many retirees, an asset protection trust can safeguard your home from long-term care expenses and probate. It allows you to retain control of your home while ensuring it passes to your children without unnecessary costs or delays.
15. Protecting Your Family Means Planning Beyond a Simple Inheritance
An outright inheritance may expose your loved ones to risks like divorce, lawsuits, or premature death. A separate share trust can shield your children’s inheritance from these dangers, keeping it secure and within the family.
Conclusion: Start Planning Today
Estate planning is about more than dividing assets—it’s about protecting your family, ensuring your wishes are honored, and preserving your legacy. Whether it’s creating a trust, updating your POA, or preserving your family’s memories, there’s no better time to start than now during Estate Planning Awareness Month.
At Sechler Law Firm, we’re here to help. Reach out today to learn how we can work together to secure your future and protect the people you love. If you know anybody who would benefit from attending our Family Legacy Workshop Event on October 23rd, at 6pm at our event center in Warrendale. To register, please visit sechlerlawfirm.com and on our home page, below the video of Tim, there is a button where you can register for this event.
