Loune-Djenia Askew, Esq.
Jul 17, 2024
Here are some practical steps to improve your estate plan.
Even the best intentions can lead to ill-conceived estate plans that may not fully protect your legacy. Fortunately, there are ways to reconfigure these plans to better serve your needs and those of your heirs. Here are some practical steps to improve your estate plan.
Common Issues in Estate Plans
Outdated Information:Â Changes in family dynamics, laws, or personal circumstances can render parts of your estate plan ineffective. Update your estate plan regularly so it remains relevant and effective.
Lack of Flexibility: Rigid estate plans can create challenges if circumstances change. Plans that do not account for potential changes, such as new laws or significant life events, can be problematic. Flexibility in your estate plan allows adjustments as needed.
Poor Asset Distribution:Â This can lead to disputes among heirs. Clearly outlining who gets what helps prevent conflicts and guarantee a fair distribution.
Steps to Fix an Estate Plan
Consult an Estate Planning Attorney: They can provide legal guidance on how to reconfigure your plan to better suit your needs and ensure it complies with current laws.
Include a Revocable Living Trust: A revocable living trust allows you to manage your assets during your lifetime and specify how they should be distributed after your death. This can help avoid probate and provide clear instructions for asset management.
Establish Clear Beneficiary Designations: All beneficiary designations on accounts such as life insurance policies, retirement accounts, and bank accounts should be up-to-date. This prevents confusion and makes sure that your assets are distributed according to your wishes.
Plan for Contingencies: Include contingency plans in your estate plan to account for unforeseen circumstances. Involve naming secondary beneficiaries for unexpected events.
Minimizing Taxes:Â This can include gifting strategies, charitable donations, or setting up trusts designed to reduce the tax burden on your estate.
Protecting Minor Children: Your estate plan should include provisions for their care. Name guardians, set up trusts for their financial support, and provide instructions for their upbringing.
For more information, contact our office at Askew & Associates, P.A. by calling 954-546-2699.
Disclaimer: this blog post is not intended to be legal advice. We highly recommend speaking to an attorney if you have any legal concerns.