Estate Planning Awareness Month is a reminder for us to get our affairs in order. What does that mean? We should think about ways to protect ourselves and the people we love in case of our incapacity or death. Often, we are thoughtful about the day-to-day ways in which we care for our loved ones; however, Estate Planning Awareness Month encourages us to look beyond the present and position our loved ones for the long term.
I encourage people to create their first estate plan when they become adults, typically at 18 years old. While there may not be a great deal of assets at this age, the fact that there is a life involved creates significant value to be considered and planned for. It also establishes a mindset of preservation and legacy-building from an early start. The right to privacy for adults creates limitations that prevent others from providing support. Both financial and health decisions are protected. Parents do not have the right to invade their child’s privacy, even when seeking to assist or protect them. At the other end of the age spectrum, we must consider how to help our loved ones as senior citizens when physical and mental frailties may develop. Senior citizens are often targets of malicious people hoping to take advantage of vulnerable individuals.
Estate planning is a strategic way to protect assets and grow wealth for multiple generations. Developing a vehicle that crafts a legacy plan is one way to build family net worth that impacts the community and protects assets. A well-crafted plan can define opportunities to capitalize on family strengths while developing strategies for wealth enhancement. The estate plan allows for the care of vulnerable family members without risking their eligibility for governmental benefits. An effective estate plan provides support for family members and loved ones with addictions and disabilities, offering a necessary safety net without placing assets at risk. Estate planning allows family heirlooms and legacy land to be protected and preserved while telling the legacy story and building for future heirs.
Yet, we often take for granted our responsibility in establishing this legacy. We frequently procrastinate in planning and execution. As an estate planning and estate administration attorney, I often hear about intentions that were not executed, resulting in family members trying to figure out what needs to be done. Where there is confusion, there is space for contention. I don’t believe we ever want our loved ones to fight over things or our preferences when we could have simply taken action to clarify what should happen. Contention that leads to litigation diminishes assets while challenging relationships among people we love.
We have an opportunity to build a legacy of love and wealth. Many people think they don’t have enough to create wealth. As estate planning and financial advisers know, it must begin somewhere, and every bit helps. Working with a professional will help create a roadmap for creating a legacy of wealth. Doing nothing will not only fail to create wealth but will diminish existing assets.
Let’s celebrate Estate Planning Awareness Month by creating an estate plan or revisiting the one we’ve already created!