Estate planning is an essential part of financial planning, but it can be a complex process. In today's blog I Scott Hoh, from Resolution Law Firm want to tell you the 5 common mistakes made while preparing an upcoming estate plan, and what we may forget to upkeep leading to serious consequences. We want to prevent these, read these tips from us before calling us today to get your estate planning needs taken care of!
1. Many people don't realize that beneficiary designations take precedence over wills or trusts, so if they haven't been updated, they may not reflect the person's current wishes. To avoid this mistake, it's essential to regularly review and update beneficiary designations, especially after major life events like marriage, divorce, or the birth of a child.
2. Choosing the wrong person (executor or trustee) can result in delays, legal challenges, and potential conflicts among family members. Executors and trustees have tremendous responsibilities and play a crucial role in ensuring that your wishes are carried out. Family meetings in estate planning promote transparency and help avoid surprises and misunderstandings after you're gone. Carefully consider your options and choose someone who is trustworthy, responsible, and willing to take on the responsibilities of executor or trustee.
3. Failing to review and update your plan regularly. Schedule regular reviews of your estate plan, and make updates as needed after major events. Set reminders to schedule these appointments, our phones are usually within arm reach, do not let yourself forget!
4. Failing to consider the tax implications of your estate plan can result in a significant reduction in the value of your assets for your beneficiaries. Here in Reading, PA we do have an inheritance tax. Call us today with any questions you may have, we would love to help you gain clarity on these issues.
5. Sudden incapacity can result in significant legal and financial challenges for your loved ones. Create a plan that includes provisions for incapacity, such as a durable power of attorney or healthcare directive.
At The Law Offices of Scott G Hoh, we give original, executed documents to clients, as well as send an electronic copy. We feel it is best for clients to store their original documents in a fireproof box that is easy for loved ones to access when they are needed. WE'D LIKE TO HEAR FROM YOU. Scott Hoh is passionate about the well-being of his clients—and he is willing to do whatever it takes to ensure that their legal concerns are resolved in an expedited, yet satisfactory manner. Call today if you desire excellent legal service from an attorney with a long history of success, serving in Berks County and surrounding areas.