Have you created a trust or will? If not, now is the time to do so! And, if so, did you work with an established estate planning attorney to set it up or did you DIY? Either way, review the following caveats to see if any apply to your plan. Review the list to make sure your estate plan is mistake free, so you and your family will be protected from long, drawn-out probate proceedings and other estate-related nightmares.
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Lack of Healthcare and Disability Planning.
The majority of deaths occur in hospitals or other institutions. Incapacitated patients who can no longer communicate will be unable to share their healthcare wishes. Advance Directives and a Healthcare Power of Attorney:
- Identify healthcare proxy decision-makers.
- Specify wishes for end-of-life care.
- Provide a formal plan to control financial and property matters.
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Lack of attention to digital assets.
Without a plan for digital assets and social media, you could lose critical documents, photos, memories, and family records.
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Failure to consider your children’s possible future divorces or lawsuits.
Unfortunately, one in two-to-three marriages in the United States ends in divorce. We hope your child’s marriage will succeed. However, if not, your child could be sued, resulting in the dividing up of his inheritance. A trust protects your legacy and your children’s inheritance.
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Lack of attention to the conscious transfer of family values.
Comprehensive estate planning includes family meetings, a family mission statement, and custom planning for children.
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Wasted IRA Funds.
Retirement account beneficiaries often receive these funds in a lump sum, creating the potential for a huge and unexpected tax bill. A standalone retirement trust (sometimes called an IRA trust) can protect these funds while still providing for beneficiaries. -
Chaotic record-keeping.
Good planning is essential so heirs do not spend months or years trying to make sense of what you left behind. A comprehensive estate plan provides you with a framework for maintaining your vital legal and financial records.
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Surviving spouse creditors and predators.
If your surviving spouse remarries and then divorces, your estate could end up in the hands of people you never intended. Likewise, if your surviving spouse is victimized by financial predators – something increasingly common as the population ages – your family may discover, too late, that your legacy is gone. Thus, a trust can ensure family money stays in and benefits the family.
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Family feuds over sentimental items.
This problem can be avoided with a Personal Property Memorandum, which can account for tangible items like artwork, family heirlooms, and jewelry. In addition to the financial assets, your plan should include careful consideration of important family items. -
HIPAA privacy lockout.
If incapacity leaves you unable to communicate, family members—even your spouse—may not be able to access your medical records because of HIPAA privacy rules. Executing a HIPAA authorization ensures access to medical information.
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Outdated Estate Plan.
You may have a will and estate plan already. Nevertheless, does it reflect your current circumstances, goals, and needs? A comprehensive review by an estate planner ensures that your estate plan reflects your current situation, desires, and needs.
About Skvarna Law
A skilled attorney can assist with your estate plan. Contact us today to learn about your options (909) 608-7671. We operate offices in Glendora and Upland, California. We provide legal services for individuals living in San Bernardino, Los Angeles, Orange and Riverside Counties. This includes the cities of Upland, Ontario, Rancho Cucamonga, Fontana, Colton, Rialto, Chino, Chino Hills, Glendora, Claremont, Montclair, Pomona, La Verne, San Dimas, Azusa, Covina, West Covina, Diamond Bar, Walnut, La Puente, Corona, Norco & Mira Loma. Visit SkvarnaLaw.com to learn more.
