Since estate planning can be complex and should be aligned with your individual and family goals, mistakes can and do happen. All too often these common mistakes are ones that end up being revealed in the midst of a crisis or after the loss of a loved one.
The most common estate planning mistake is having no plan in place at all. Many people fall for the misconception that estate planning is only for those who are extremely wealthy, but estate planning can benefit people of all different estate sizes.
Estate planning, in fact, can be as simple as proper powers of attorney and asset titling and doesn’t need to include sophisticated trusts or other documents if that’s not relevant for you.
However, another common mistake with regard to estate planning is procrastinating when an agreement can’t be made between key parties. This is particularly relevant if a person has recently passed away and established a trust. If the terms of the trust were impacted by a mistake of facts, then the trust can be changed. If an understanding or mistake ever happens, it must be proven by clear and convincing evidence that must be held up in court.
To minimize the possibility of estate planning mistakes, it is in your best interest to schedule a consultation with a trusted estate planning lawyer who can help you craft these documents accurately from the outset or to review the existing documents and make recommendations.