Planning for the future is a deeply personal and unique process, one that is specific to the needs and objectives of the individual making the plan. While there is no one-size-fits-all approach to estate planning, every New Jersey adult will benefit from having certain types of legal and financial plans in place. If you do not have a will and other estate planning documents, there is no time to lose in taking this step.
It’s important not to delay in the estate planning process, but it is also important not to make certain mistakes in your estate plan. Even small missteps in your estate planning efforts can result in detrimental consequences for your heirs and beneficiaries when it is time to settle your estate. It is prudent to be thoughtful and careful as you make important decisions for the future.
Avoid these mistakes with your estate plan
One of the biggest mistakes adults make when creating an estate plan is failing to plan in the first place. If someone passes away without a will, this may mean that state laws will be the determining factor in the division of estate assets. Other common estate planning mistakes include:
- Failure to update the plan over time and after major life events, including divorce, remarriage, birth of children and more
- Failure to include plans for possible disability and long-term care needs you may have in the future
- Failure to consider the potential tax implications for yourself, as well as heirs and beneficiaries, in your estate planning choices
- Failure to consider proper ownership of assets and how that could impact estate planning decisions
These are a few examples of common mistakes that could lead to issues for your heirs in the future. If you already have estate plans in place, it is in your interests to carefully review your documents and determine if there are any areas of concern in your current estate plans.
Protection of your long-term interests
The goal of any estate planning efforts you make is to preserve your long-term interests and protect your loved ones. The future is unpredictable, but the steps you take now will have a direct effect on everything from what happens to your personal property to caring for your loved ones. If you are unsure of what you need in your estate plan for the necessary amount of protection, you may benefit from a careful assessment of your individual situation.