On Groundhog Day, Orange County Asset Protection Attorney Warns These Estate Planning Mistakes May Bury YouFebruary 2, 2012Asset Protection, Estate PlanningNo Comments
Even though we celebrate it every year, watching for a groundhog’s shadow is not really an accurate way to forecast the weather. And in today’s economic climate, not having an estate plan is no way to face the future.
This year, be sure you avoid these common estate planning mistakes:
Procrastination. This is the #1 asset killer, whether it’s putting off creating an estate plan altogether, or neglecting to revise your estate plan when life circumstances – divorce, remarriage, births – bring change into your life.
Not Choosing a Guardian. This could be filed under procrastination as well – putting off the naming of a guardian because you and your spouse can’t decide on someone. However, in this case, done is always better than perfect. And you can always change your mind.
Wrong Beneficiaries. This happens a lot – someone divorces, remarries, has children and never updates the beneficiary list for their IRAs, 401(K)s and life insurance policies. Ex-spouses benefit a lot from this one, since a beneficiary form trumps a will.
No Power of Attorney Designations. Who do you want to make your healthcare or financial decisions for you if you can’t? A stranger? Probably not. Executing durable powers of attorney allows you to appoint who you want to carry out your wishes in case of incapacity.
Not Enough Life Insurance. If you are important to your family as an income provider, you need to have enough life insurance to see them comfortably through a difficult financial and emotional time.
Help is available to you by contacting your Southern California financial planning experts today.